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VWAP TrendSignal

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VWAP TrendSignal

VWAP (Volume-Weighted Average Price) is the market’s true fair value — the benchmark institutions use to see when price is balanced, extended, or trending with real intent.
Price often snaps back when it moves too far (mean reversion), and only shows genuine strength when it holds above or below VWAP.

VWAP TrendSignal makes this insight effortless by color-coding VWAP direction:

Yellow = VWAP rising → bullish pressure

Red = VWAP falling → bearish pressure

No bands. No noise. Just pure directional clarity.

Anchor VWAP to the Session, Week, Month, Quarter, or Year, and tailor the Slope Smoothing Filter to your timeframe:

1–2 smoothing → fast & reactive (1–5m scalping)

3–5 smoothing → clean & stable (5–15m intraday)

6–10 smoothing → slow flips (1H–4H swings)

10–15 smoothing → macro bias only (Daily/Weekly)

The line adapts to how you trade.

How to Use It

Mean Reversion
When price stretches far from VWAP, expect pullbacks or snapbacks.

Trend Direction
Yellow supports long bias, red supports short bias.
Simple, reliable, instantly visible.

Balance Zones
Price sitting near VWAP = compression, buildup, or chop.
A perfect signal to wait or prepare for a breakout.

Why It Works

VWAP TrendSignal distills institutional logic into a clean, single-line tool.
It shows fair value, trend slope, and balance all at once — making your chart clearer and your decisions faster.

Once you get used to reading it, trading without it feels blind.

Penafian

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.