Value area low (VAL)

Value area low (VAL) is the lower boundary of a profile's value area, the price band that holds roughly 70% of the volume or TPO count of the period. Below the VAL, price is trading outside the range the market accepted as fair during that period.

Senzoukria · Glossary · Updated September 2026

Definition

A volume profile stacks traded volume by price. The value area is the band around the point of control (POC) that contains a chosen share of that volume, 70% by convention. Its lower edge is the value area low (VAL); its upper edge is the value area high (VAH). VAL is therefore not a fixed price: it depends on the period of the profile (a session, a day, a rolling window) and on the share you choose.

The word 'value' comes from Market Profile: the band where most of the activity happened is where buyers and sellers agreed to do business. VAL marks the lowest price that still belongs to that agreement.

How the boundary is computed

The Steidlmayer procedure starts with VAH = VAL = POC and a running total equal to the POC volume. While the running total is below 70% of the profile's volume, it compares the volume of the two levels just above VAH with the volume of the two levels just below VAL. The larger side is added and its boundary moves outward by two ticks, capped at the actual range of the profile. VAL is the lower boundary when the loop stops.

  • The starting POC follows a tie rule: when two levels carry the same volume, the lower price is taken (the Sierra Chart convention, which Senzoukria also applies).
  • When the two candidate sides are equal, the upper side wins (the ATAS convention).
  • The step is measured in ticks, so the calculation needs a known tick size. Without it, no value area is drawn rather than a wrong one.

How to read it

  • Inside a balanced session, VAL acts as the lower edge of a range: a dip below it that is rejected back into value is a common fade back toward the POC.
  • Acceptance below VAL, with volume trading there rather than a single spike, tells you the market is looking for a new value area lower.
  • Yesterday's VAL is a reference for today's open: an open below it and a failure to reclaim it is a different session type than an open inside value.
  • Combine it with the footprint at the level: absorption or an imbalance stack at VAL says more than the line alone.

In Senzoukria

The overlay 'Session VAH/VAL (developing)' draws two lines that follow the cumulative session profile bar by bar, using the exact procedure above; its 'Value Area %' parameter is 70 by default and can be set between 50 and 95. The 'Volume Profile (session)' overlay draws the session histogram on the left of the chart with separate colours for POC, VAH and VAL, and the pane indicators 'Value Area Width (ticks)' and 'Value Area Position %' measure each bar's own value area. On the heatmap screen, the 'Volume profile' panel builds the POC / VAH / VAL lines from the profile history depth you select.

Common mistakes

  • Reading VAL from a profile whose period does not match your plan: an hourly VAL and a session VAL are different levels.
  • Treating every touch as a bounce. VAL is context; the reaction at the level is the signal.
  • Forgetting the 70% share is a convention. Other shares move the line.

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Frequently asked questions

Is the VAL always symmetric with the VAH around the POC?
No. The procedure extends whichever side holds more volume, so a profile with a heavy bottom will have a VAL close to the POC and a VAH far from it. Symmetry only appears when the distribution itself is symmetric.
Why does my VAL differ from another platform?
Platforms differ on the tie rules, on whether they step one or two levels at a time, on the period boundary and on the volume share. Senzoukria steps two ticks per side, takes the lower price for a POC tie and the upper side for a side tie. Compare the settings before comparing the lines.
What happens to the VAL while the session is still running?
A developing VAL moves as volume accumulates. Early in the session the band is narrow and unstable; it settles as the profile fills. The final VAL of a session is only known at the close.

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