VWAP - Did you try it? Do you use it?

[ChipShotTrader]

Just so we're clear
I see VWAP is no better than 50 & 200 EMA.
I see VWAP as no better than 50 & 200 EMA.

The phrase "I see VWAP is no better than 50 & 200 EMA."
implies that you have exhausted all the possibilities of advantage offered by a nice big juicy VWAP.

How much time did you spend working that VWAP?

I looked at it for about a solid year, but my trading time window is from 9:30am-11:30am, Monday-Thursday (70%+ of my profits are made there, the "magic time"). I am looking for very specific oscillations, and VWAP did not help me at all. If you have a longer time frame, I am sure it could help you stay with the trend, and maximize profits. That has not been my case, due to my trading personality. Stock Index Futures only, so I would not know about stocks, or other instruments.

PS. Sent you a PM, with a chart...

 

[easymon1]

I looked at it for about a solid year, but my trading time window is from 9:30am-11:30am, Monday-Thursday (70%+ of my profits are made there, the "magic time"). I am looking for very specific oscillations, and VWAP did not help me at all. If you have a longer time frame, I am sure it could help you stay with the trend, and maximize profits. That has not been my case, due to my trading personality. Stock Index Futures only, so I would not know about stocks, or other instruments.

8 hour work WEEK for on your toes 'ON' time, makes time for 'sharpening the saw', and for the World At Large. No net loss of productivity. Not too shabby.

What is the Pareto Principle (80/20 Rule)?
https://www.juran.com/blog/a-guide-to-the-pareto-principle-80-20-rule-pareto-analysis/
"The Pareto Principle, also known as the 80/20 Rule, The Law of the Vital Few and
The Principle of Factor Sparsity, illustrates that 80% of effects arise from 20% of the
causes – or – 20% of your actions/activities will account for 80% of your
results/outcomes."

What is the Pareto Principle (80/20 Rule)?
https://www.juran.com/blog/a-guide-to-the-pareto-principle-80-20-rule-pareto-analysis/

 

[maxinger]

VWAP
I used it.
I don't use it.

 

[ChipShotTrader]

8 hour work WEEK for on your toes 'ON' time, makes time for 'sharpening the saw', and for the World At Large. No net loss of productivity. Not too shabby.

What is the Pareto Principle (80/20 Rule)?
https://www.juran.com/blog/a-guide-to-the-pareto-principle-80-20-rule-pareto-analysis/
"The Pareto Principle, also known as the 80/20 Rule, The Law of the Vital Few and
The Principle of Factor Sparsity, illustrates that 80% of effects arise from 20% of the
causes – or – 20% of your actions/activities will account for 80% of your
results/outcomes."

View attachment 262042
What is the Pareto Principle (80/20 Rule)?
https://www.juran.com/blog/a-guide-to-the-pareto-principle-80-20-rule-pareto-analysis/

View attachment 262041

Yes, it's Pareto's Law all the way. Lots of trials and errors, VERY time consuming (as in years), but eventually you reach that 20%, and you keep at it...

 

[KCalhoun]

VWAP, like moving averages, is slightly useful -- as a reference point. But not as useful as other signals like mean reversion pivots when it comes to identifying good entry prices.

 

[easymon1]

mean reversion pivots

Two questions if i may,
1. KC, when you trade do you work the morning session for ~80% of your total action?

2. Are MRP's same as 50% fib retracements?
Thanks

 

[They]

Do most VWAP traders add standard deviation lines to their VWAP charts?

Yes.

Starting points for the VWAP are variable - EU open, US open, Rolling (1 hour, 2 hour, Volume Based, Multiday), LOD, HOD, Swing High/Low, High/Low of EU session, High/Low of Initial Balance, etc

 

[They]

Here is an example of starting vwaps off of swing lows/highs
Times are PST

 

[KCalhoun]

Two questions if i may,
1. KC, when you trade do you work the morning session for ~80% of your total action?

2. Are MRP's same as 50% fib retracements?
Thanks

1. Y
2. N