The Quantflow Gold Reversal Blueprint: How to Use Volume Profile & Liquidity Sweeps to Find High-Probability Entries
- Chris Trader
- Aug 15
- 4 min read
Looking at this 10-minute Gold chart, Volume Profile is giving you the location, but I would not use the liquidity sweep alone as the entry trigger.
For your Quantflow Dynamics approach, the strongest combination is:
Volume Profile liquidity sweep + market structure shift + divergence + outside bar/displacement + momentum confirmation
1. Volume Profile — identify WHERE the trade should happen
On your chart, the important levels are approximately:
VAH / upper value: around 4,092–4,105
POC/value: around 4,050
VAL / lower value: around 4,041–4,029
Current price: around 4,084
The key concept is:
Don't trade the sweep. Trade the reaction after the sweep.
For example:
Price pushes above VAH → takes liquidity → fails → closes back below VAH
That is your potential short location.
Conversely:
Price pushes below VAL → takes liquidity → reclaims VAL → bullish displacement
That is your potential long location.
🔥 The 5-confirmation Quantflow entry
I'd build your entry around these five components.
① Volume Profile — LOCATION
First identify:
VAH / VAL / POC / HVN / LVN
The best setups occur when a liquidity sweep happens at one of these important areas.
② Liquidity Sweep — TRIGGER
Look for price to deliberately take an obvious high or low.
SELL example
VAH → previous high → liquidity taken → rejection
You don't short yet.
Wait for confirmation.
BUY example
VAL → previous low → liquidity taken → rejection
Again, don't buy immediately.
③ Divergence — EXHAUSTION
This is where your existing Quantflow system becomes particularly useful.
For a SELL:
Price makes:
Higher high
but RSI/MACD/your momentum oscillator makes:
Lower high
→ Bearish divergence
For a BUY:
Price makes:
Lower low
but oscillator makes:
Higher low
→ Bullish divergence
This tells you the liquidity sweep may be an exhaustion move rather than genuine continuation.
④ Market Structure Shift — CONFIRMATION
This is probably the most important additional confirmation I would add.
After a sweep, wait for a Change of Character / Break of Structure.
Short
Sweep high → rejection → lower high → break previous swing low
Then look for the entry.
Long
Sweep low → rejection → higher low → break previous swing high
Then look for the entry.
This prevents you from trying to catch the reversal too early.
⑤ Outside Bar / Displacement — ENTRY
This fits your Quantflow Dynamics rules extremely well.
After the liquidity sweep, look for a strong outside bar or displacement candle.
🟥 SELL
VAH sweep + bearish divergence + bearish outside bar + structure break
That is a high-quality Quantflow short.
🟩 BUY
VAL sweep + bullish divergence + bullish outside bar + structure break
That is a high-quality Quantflow long.
What I see on YOUR chart
The most interesting area currently is:
🔴 4,092–4,105
This is where I would be watching for a potential short liquidity sweep.
Price has already pushed into this upper volume area.
If Gold:
4,092 → 4,105 → sweeps the high → rejects → bearish divergence → breaks the local structure
I'd consider that a very attractive Quantflow short.
Potential targets:
4,085 → 4,070 → 4,050
The 4,050 POC/value area would be an important first major target.
🟢 The 4,050 area
This is particularly interesting for a long if price comes back down and sweeps it.
Ideal sequence:
4,050 → sweep below → reclaim → bullish divergence → bullish outside bar → structure break
Then:
BUY around the reclaim/confirmation
Targets:
4,070 → 4,085 → 4,092 → 4,105
🟢 Stronger BUY zone
If Gold moves considerably lower, I'd watch:
4,041–4,029
This is the lower-value/demand region shown on your chart.
A VAL liquidity sweep + bullish divergence + structure shift here could provide an excellent reversal setup.
⭐ My preferred Quantflow indicator stack
I wouldn't put 10 indicators on the chart. I'd keep it relatively clean:
Component | Purpose |
Volume Profile | Where is liquidity/value? |
Liquidity sweep | Has liquidity been taken? |
RSI divergence | Is momentum exhausting? |
Market Structure / CHoCH | Has direction actually changed? |
Outside Bar | Is there immediate reversal pressure? |
Volume / Relative Volume | Is the move supported or being rejected? |
VWAP | Is price above/below fair value? |
The hierarchy is important:
1. Volume Profile = LOCATION↓2. Liquidity Sweep = EVENT↓3. Divergence = EXHAUSTION↓4. CHoCH/BOS = CONFIRMATION↓5. Outside Bar/Displacement = ENTRY
That is much stronger than simply saying:
"Price touched VAH, therefore SELL."
🚨 A very important filter
There are actually two different types of VAH sweep.
❌ Bad short
Price breaks VAH and then holds above it.
That isn't necessarily a reversal. It could be a genuine breakout.
✅ Good short
Price breaks VAH, takes liquidity, immediately rejects and closes back inside value.
That is the failed auction you want.
Exactly the same principle applies to VAL.
🔥 Quantflow "A+" setup
I'd score your setup something like this:
SELL
VAH/supply location = ✅
Previous high liquidity = ✅
Sweep = ✅
Bearish divergence = ✅
CHoCH = ✅
Bearish outside bar = ✅
Volume rejection = ✅
6–7 confirmations = A/A+ setup
Whereas:
VAH touch only = ❌ no trade
And for BUY:
VAL + liquidity sweep + bullish divergence + CHoCH + bullish outside bar + reclaim of value = A+ BUY
This would fit very naturally with your existing Quantflow Dynamics: Outside Bar + Divergence + Convergence framework while using Volume Profile to tell the system where the setup is most likely to occur.
I hope this helps with understanding liquidity sweeps using Volume Profile.
Chris
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