🎯 Top Volume Profile Levels to Trade This Week on ES, JPY and CAD

Hello everyone, it’s Dale here with a new weekly trading ideas video. Today we are going to cover three trading ideas on three trading instruments. We are going to cover the ES, which opened with a gap, so it presents a new trading opportunity. We’re also going to cover the USD/JPY and the USD/CAD. So let’s check out the charts, shall we?

What you see before you is the ES, 30-minute time frame. By the way, this is the NinjaTrader platform with my custom-made Volume Profile and VWAP indicators. The level that I’d like to talk about on the ES is right here at 5722, and it is a support. It formed quite recently and is based on the opening gap—this gap.

Now, what I’m going to show you is a strategy that I like to trade when there’s a gap like this one. There are a few things we need to have. We need a gap and a heavy volume zone behind the gap. So what you see here is the gap—that’s the first requirement. Then the second thing: we need a flexible Volume Profile to identify that there is a heavy volume zone—this one. You want to trade from the beginning of the heavy volume zone. This is the beginning of the heavy volume zone, and also the start of the gap. So that’s the support.

The idea behind this is that when there is a pullback, the gap gets closed, as it usually does, and then the price hits the heavy volume zone. The heavy volume zone represents buyers who are pushing the price upwards. So when the price hits this heavy volume zone, there’s likely to be a reaction from the buyers here—those buyers from this heavy volume zone. So that’s the setup. We just need to wait for the pullback and then take the long from here.

Another thing that I like about this level is that the price was reacting here in the past. You can see all those reactions to this area. So in the past, it worked as a resistance, which—when the price went past it—turned into a new support. That’s another setup, a price action trade setup that confirms our long level. So right now, we just need to wait for that pullback, and if it occurs, then we take the long from there.

So that’s for the ES. Let’s now go to the USD/JPY.

On the USD/JPY, I have a new long level. It is this one at 148.89, and it is based on a heavy volume zone which was formed within this strong rejection zone. This was a rejection of lower prices. It is called a rejection because sellers were pushing the price downwards, then buyers started to jump in—we can see the buyers in here, in this heavy volume zone—and then the buyers rejected the lower prices. So this is the rejection, and within the rejection, you want to see a heavy volume cluster like this one, because the volume cluster is showing you the buyers jumping in, adding to their long positions, and finally pushing the price upwards.

This is an important zone for buyers who reversed the price, and the beginning of that heavy volume zone is right here at our level. So if there is a pullback, chances are that the buyers from here will become active again, and they’ll want to push the price from here upwards again.

You can also notice that there’s a little Fair Value Gap highlighted in green. Fair Value Gap—that’s from Smart Money Concepts—and it nicely aligns with this heavy volume cluster.

By the way, I just took a profit from a short trade on the USD/JPY. Let me show you real quick. That trade was based on this heavy volume zone. This was the short. By the way, it was published in the members area, so everybody could have traded that one with me. This was the short—I simply entered with a limit order and I quit the trade at a heavy volume zone. Let me show you—I quit the trade here, because the heavy volume zone represents support, and we want to quit before the price hits the support, or before the price reacts to the support.

So this is where I quit the trade, and as you can see, the price really did react to that heavy volume zone, to that support. So it was definitely a good place for taking that profit.

Anyway, that was for the USD/JPY. Let’s now go to the USD/CAD.

On the USD/CAD, we also have a rejection setup, and this one is a short trade scenario. The short level is this one—1.4382. I’ll do the same thing as on the USD/JPY. I’ll use the flexible Volume Profile indicator and use it on the rejection zone. This is the rejection zone—this one. This is where the rejection occurred, and I look for a significant volume cluster—this one. This represents a place where sellers were active, rejecting the high prices and pushing the price downwards.

This is the beginning of the heavy volume zone and also the beginning of a Fair Value Gap, highlighted in red. This is the Fair Value Gap—again, from Smart Money Concepts—and this is the beginning of the Fair Value Gap. This is our level. So we have the Fair Value Gap, we have the beginning of that heavy volume zone, and right now we are just waiting for a pullback. If a pullback occurs, then it is a short—the same setup as on the USD/JPY, only reversed.

Now, if you guys are interested in learning more about Volume Profile trading, then head over to my website—it’s at Trader-Dale.com. If you click the button “Trading Course and Tools” it will take you to this page where you can browse my trading education and custom-made trading indicators.

There’s the Volume Profile Pack, focusing on Volume Profile trading; the Order Flow Pack, which will teach you everything about day trading with Order Flow; and then there’s the VWAP Pack, which will teach you everything about VWAP trading. All those packs also include my custom-made indicators, such as Volume Profile, VWAP, or Order Flow.

If you scroll down a bit, you can get all three packs together for a discounted price.

And if you guys are interested in day trading with me and other prop firm traders in a live trading room every day, then I recommend checking out the FTA right here. FTA stands for Funded Trader Academy. In here, we teach traders how to get funded with a prop firm and how to become professional prop firm traders. If you’re interested in joining us, then book a one-on-one call right here. We will walk you through the service, and then you can decide whether or not this is the right next step for you.

All right, now before I wrap the video up, I’d like to announce the winner of the contest we had last time. The prize of the contest was my custom-made Volume Profile and VWAP indicators for the TradingView platform. Right now, on your screen, you see the name of the person who won the contest—so congratulations to the winner!

What I’ll do next is run another contest for next week. The only thing you need to do to participate in this contest is leave a comment below this video, which I’ll publish on YouTube. Next week, I’ll randomly pick one person to win this set of custom-made indicators.

So that’s about that. Thanks for watching the video, and I’ll be looking forward to seeing you next time. Until then—happy trading!