VWAP in Daily Trading
Quote from tom765 on January 6, 2026, 12:16 pmI see many traders talk about VWAP, but I still feel confused. I know it is an intraday indicator, but I do not fully understand why volume matters so much. Is it better than moving averages? Can VWAP really show trend or support during the session? I want to use it for day trading, but I am not sure how to combine it with other tools. Any simple explanation would help me a lot.
I see many traders talk about VWAP, but I still feel confused. I know it is an intraday indicator, but I do not fully understand why volume matters so much. Is it better than moving averages? Can VWAP really show trend or support during the session? I want to use it for day trading, but I am not sure how to combine it with other tools. Any simple explanation would help me a lot.
Quote from neo565 on January 6, 2026, 6:01 pmVWAP is useful because it mixes price and volume into one line. It shows where most trading happened during the session. Big volume moves it more than small trades. Many traders use it as dynamic support or resistance. It is not better than all averages, just different. I like to combine it with RSI and EMA. You can read more about how does vwap interact with other technical indicators. That guide explains how VWAP works with momentum and trend tools. It also helps to backtest your ideas.
VWAP is useful because it mixes price and volume into one line. It shows where most trading happened during the session. Big volume moves it more than small trades. Many traders use it as dynamic support or resistance. It is not better than all averages, just different. I like to combine it with RSI and EMA. You can read more about how does vwap interact with other technical indicators. That guide explains how VWAP works with momentum and trend tools. It also helps to backtest your ideas.
Quote from ryna02176 on January 6, 2026, 6:20 pmI agree that VWAP is not magic. It works best for intraday trading. I use it to see session bias. Above the line feels bullish to me. Below feels weak. I also like VWAP bands. They help me see when price is stretched. For swings, I still prefer simple moving averages.
I agree that VWAP is not magic. It works best for intraday trading. I use it to see session bias. Above the line feels bullish to me. Below feels weak. I also like VWAP bands. They help me see when price is stretched. For swings, I still prefer simple moving averages.