POC, VAH, VAL and value migration

The volume profile projects volume by price instead of volume by time. It reveals the levels where the market actually decided.

Value migration

Follow the displacement of the POC day after day. Rising value (POC and value area higher every day) is bullish acceptance: buyers agree to pay more. A test of the VAL that holds is a defense by the buyers; a VAL that gives way and is not reclaimed is a regime change.

Three opening cases, to classify in the first half hour:

1. Open inside yesterday's value area: balance likely, fade the edges.
2. Open outside the value area, return inside: the market rejects the new price, target yesterday's POC.
3. Open outside the value area, acceptance (price stays there): imbalance, trade in the direction of the gap.