Profile shapes and day types

At the end of a session, the volume profile has a shape. That shape tells the story of who dominated the day and how. Learning to recognize these shapes while they form helps you choose the right behavior: selling the extremes on a rotation day, or on the contrary following the trend on a day when the market never looks back.

Traders who use auction theory (market profile) distinguish a handful of typical shapes. Five are enough to start.

Recognizing the shape during the session

You only know the final shape at the close, but you can often guess it before 5:30 pm:

• The initial balance is narrow, then price breaks out of it clearly and does not come back: a trend day is likely.
• The initial balance is wide and price keeps coming back to its middle: a normal rotation day is likely.
• Price jumps at the open, then stalls at the top with weakening delta: the P is forming.