*Place your mouse over the Market Profile charts to expand them.

The dictionary defines distribution as "the position, arrangement, or frequency of occurrence over an area or throughout a space or unit of time." The volume of everything distributes around a mean over time. Why should trading be different?

A balanced normal distribution or bell-shaped curve can be formed from the this basic pattern of market behavior, namely the continuum of imbalance, balance, imbalance, balance, etc.

When market activity forms a bell-shaped profile, a segment of market action is complete and the market is ready to move. This balanced distribution is the long-term framework to which to relate short-term moves in individual sessions.

Using Market Profile data, as exemplified through the charts on this page, you can see the distribution structure visually. Being able to recognize the market's structure greatly simplifies the trading process, by developing a simplified set of rules for specific market conditions. Market Profile is a tool rather than a buy/sell system, reading Market Profile data involves grasping principles, not just memorizing rules. Market Profile data captures and lets you see changes in the market so that you can adjust accordingly. This means that once you can recognize the patterns with Market Profile data, the knowledge can be applied to trading in all markets.

Click Here to view a short video introduction to Market Profile

CBOT Market Profile® and Market Profile® are registered trademarks of the Chicago Board of Trade (CBOT), which holds exclusive copyrights to both.