18 June 2026
Volume shelves versus round-number folklore
Round numbers feel comforting on Taiwan-listed names, but volume-confirmed shelves earn their place on the worksheet first.
Traders love NT$100, NT$500, and other tidy figures. Price sometimes respects them. Often it does not. In class we treat round numbers as candidates, never as finished levels.
A volume shelf is different: a price band where prior sessions traded heavily, visible as a dense region on a volume-by-price profile or as repeated closes clustered in a narrow range. When such a shelf aligns with a swing high or low, it becomes a primary mark on our weekly map.
During evening clinics we run a simple drill. Students mark every round number on a blank chart, then overlay only the shelves where volume concentrated. The second map is almost always shorter — and more useful when we replay the next quarter’s price action.
Folklore levels can stay as light pencil ticks if you insist. They do not get ink until the market has shown interest there more than once.