Volume Weighted Average Price (VWAP)

    Volume weighted average price (VWAP) is a technical analysis benchmark that calculates the average price at which an asset has traded throughout the day based on both volume and price. VWAP can serve as a guide for identifying various support and resistance levels by automatically averaging an asset’s intraday closing prices over time. As a result, VWAP is an important intraday indicator for traders who rely on technical indicators for a better time when to enter and exit positions.