VWAP 2 Bands Support and Resistance
- Indicadores
- Hoummad Elkraima
- Versión: 1.0
- Activaciones: 5
This is a key indicator and guideline for institutions and pension plans that look to take large positions and need to know whether they are getting in at a good price or not.
It also allows them to get into positions without disrupting the market or elevating prices unnaturally with their large orders, resulting in unfavorable entry prices for them.
The VWAP is a major level of importance that a lot of big traders and institutions monitor and is why you should be paying attention to it too.
Basically it calculates the average price of the stock based on how many shares were traded at different prices and its usually calculated within a one day time frame.
Setting :
The upper Band with red color is acting as Resistance.
The down Band with green color is acting as Support.