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Double VWAP
Period 1: 10
Period 2: 20
The Double VWAP indicator plots two lines on the chart.
1 – The green line represents the VWAP line for a shorter period
2 – The red line represents the VWAP line for a longer period
VWAP is a popular indicator that is followed by many traders. VWAP is an acronym for volume weighted average price. The indicator consists of volume and price and plots as a single line on the price chart.
The intraday VWAP indicator is calculated based on intraday data starting with the first candle of the day. Price and volume data are taken into account for each tick of each session. During the market session, the indicator starts anew every morning.
We can plot the VWAP indicator on any timeframe for a specific period instead of intraday VWAP. VWAP is calculated based on price and volume over the period defined by the user.
A double VWAP indicator plots two VWAP lines on a price chart.
An increase in the shorter VWAP line over the longer VWAP line indicates a bullish reading. Shorter VWAP lines below longer VWAP lines indicate a bearish trend.
The indicator table value in TradePoint & RZone also provides you with a list of all values of this indicator for any group of stocks. This will allow you to compare the readings of this indicator across different stocks.
This indicator is also available in the System Builder of RZone & TradePoint for all charting methods. Using the system builder, you can develop various strategies based on the different conditions already present in this indicator. Additionally, it can be used with other indicators or price patterns to develop effective trading strategies. For any group of stocks and market segments, you can scan and backtest stocks based on those strategies.
The indicator is applicable to all types of charting. Calculated based on the number of columns on P&F charts, bricks on Renko charts, lines on Line-break charts, candles on Heikin ashi charts, and lines on Kagi charts. While the formula and reading of the indicators remain the same, they become more dynamic on these charts.