ITOCHU (8001): Volume Profile and Deep Value AnalysisItochu CorporationTSE_DLY:8001UmutTradesUsing the 4-hour chart, we combine Periodic Volume Profile with the 100 EMA to identify institutional value areas. Migrating POC: The 3-month Point of Control (POC) has been steadily rising. It is currently at the 2,192.0 JPY level, indicating the market is actively accepting higher prices as the new fair value. Price Rejection: The price is refusing to fall below this new POC zone. Buyers are consistently stepping in, treating the ascending trendline and POC as dynamic support. Historical Confluence: The 100 EMA aligns perfectly with a High Volume Node (HVN) block situated between 2,029.0 JPY and 2,063.2 JPY. This acts as our ultimate structural support in case of a broader market shock. The Trade Plan (Long Bias) Given the strong volume accumulation and deep value fundamentals, the bias is strictly LONG. Entry Zone 1 (Aggressive): 2,192.0 JPY – 2,230.5 JPY (Buying the current pullback into the rising POC and short-term trendline). Entry Zone 2 (Conservative): 2,063.2 JPY (Bidding at the HVN + 100 EMA confluence in case of a sudden liquidation event). The Buffett&Munger Perspective: Deep Value & Margin of Safety As Charlie Munger taught, volatility simply misprices great businesses. Itochu’s wide economic moat and resilient cash flows present a textbook deep value setup against current macro headwind. High Profitability: Consistently delivering a globally competitive ROE of >15%, paired with a strong Greenblatt earnings yield of ~6.5%. Discounted Valuation: Trading at a Trailing P/E of ~17.0x (well below the estimated fair value of 26.2x) and a highly efficient P/S of ~1.05x. Resilience & Returns: A solid balance sheet (Quick Ratio ~0.96) provides a true "margin of safety" against market shocks. Additionally, a conservative 36% payout ratio easily sustains its ~1.8% dividend yield (backed by 11 consecutive years of hikes). Target: I will trail my stop loss until we see a couple of daily closes below 100EMA. Stop Management: Initial hard stop is a daily close below 1,915.0 JPY. Once in profit, I will trail the stop loss until we see a couple of daily closes below the 100 EMA.