TA Challenge: VWAP, the "golden indicator" for intraday trading
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Mcsnacks H Tupack
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joined discussion · Mar 24, 2023 22:59
VWAP and MVWAP
Charting software is used when wanting the calculations and indicators on price movement. VWAP will provide a running total throughout the day. Thus, the final value of the day is the volume-weighted average price for the day.
MVWAP will provide an average of the number of VWAP calculations to analyze. This means there is no final value for MVWAP, as it can run fluidly from one day to the next, providing an average of the VWAP value over time. This makes the MVWAP much more customizable. It can be tailored to suit specific needs. It can also be made much more responsive to market moves for short-term trades and strategies.
VWAP lets you know if you received a better-than-average price that day or a worse price. When a stock is trending, you can use VWAP and MVWAP to gain information so that you know if the price is above VWAP, it is a good intraday price to sell. And if the price is below VWAP, it is a good price to buy.
The one I use the most is support and resistance so I know when to buy when the price is below the VWAP and MVWAP, and to sell when the price is above the two indicators. The main goal is to capture pullbacks toward the VWAP and MVWAP that can produce a profitable result if the trend continues. Today Im using it with$YS Biopharma (YS.US)$. Bought at a new low price of 5.08. Support has developed at 5.30 with resistance at 6.50. Once it breaks over 6.50 then its next is 7.93 and 8.50. But VWAP is dependant upon warrants not being exercised. Warrants make VWAP useless and pointless.
CasualInvestor
:
$YS Biopharma (YS.US)$ 4.79 now. At this period, seems lots of uncertainty still to come. Even BTD (buy the dip) strategy, need to see if it’s at the right time.
Mcsnacks H Tupack
OPCasualInvestor
:
But it appears as tho they are exercising warrants and dragging the stock down. This is proven by them releasing good news and then the stock drops a considerable amount at the same time. They are trying to offset the warrant exercise by causing an increase in volume but when it is not working they should back off of them. Since they are greedy assholes tho they ignore this affect because it is only being felt by retail investors.
Mcsnacks H Tupack
OPCasualInvestor
:
Oh and warrants being exercised is the one symmetric that completely throws off your VWAP calculations and renders it useless and a waste of time. No matter what you do,they make sure the retail investor never has an advantage over their game. The house always wins.
CasualInvestor : $YS Biopharma (YS.US)$ 4.79 now.
At this period, seems lots of uncertainty still to come. Even BTD (buy the dip) strategy, need to see if it’s at the right time.
Mcsnacks H Tupack OP CasualInvestor : Data release. Going to run it up into some high gains since they are out of short shares.
Mcsnacks H Tupack OP CasualInvestor : But it appears as tho they are exercising warrants and dragging the stock down. This is proven by them releasing good news and then the stock drops a considerable amount at the same time. They are trying to offset the warrant exercise by causing an increase in volume but when it is not working they should back off of them. Since they are greedy assholes tho they ignore this affect because it is only being felt by retail investors.
Mcsnacks H Tupack OP CasualInvestor : Oh and warrants being exercised is the one symmetric that completely throws off your VWAP calculations and renders it useless and a waste of time. No matter what you do,they make sure the retail investor never has an advantage over their game. The house always wins.
102065960 CasualInvestor : 'ok