The volume point of control takes centre stage on the US indices!
In the US session for day trading the index futures, once again it was patience that was required in abundance as we waited for the inevitable breakaway which duly arrived later in the day. The primary indicator in this session was the volume point of control which as always gives a visual representation of the region of price agreement, with no bias in sentiment. This is the fulcrum of price action and works in all timeframes, denoting the heaviest concentration of volume on the price chart, combining as it does volume, price and time.
Any move away from the volume point of control is then confirmed with the linear price volume relationship as Wyckoffian principles then apply and confirm any subsequent move as genuine or false.
The volume point of control on the NinjaTrader platform works in all timeframes and for all markets, and sits at the point at which volume is at an extreme. The associated volume histogram then highlights high...