Overview: VWAP is a benchmark showing the average price weighted by volume, often used by institutions.
How to Use:
*Setup: Use VWAP as support or resistance. *Entry: *Buy when the stock bounces off VWAP in an uptrend. *Short when the stock rejects VWAP in a downtrend. *Exit: *Target: Next key level (e.g., previous high/low). *Stop-Loss: Just beyond VWAP. *Example: *A stock in an uptrend pulls back to VWAP and forms a bullish candlestick. Enter and target the day’s high.