Weekly, Monthly, and Yearly Volume-Weighted Average Price

Summary

This indicator calculates volume-weighted average price over weekly, monthly, and yearly periods. For each bar, it divides the sum of typical price multiplied by volume since the relevant period began by the corresponding cumulative volume. It then plots the three values as separate lines. The method requires volume data and uses the instrument’s bars to identify changes in week, month, and year.

The document provides an implementation but no trading rules, performance results, or evidence that these VWAP lines predict price movements. Its usefulness is as a way to track average traded price over several time horizons. The calculation depends on the platform’s date and week conventions, the chart’s bar interval, and adequate volume data; the supplied description does not discuss how to handle missing or unreliable volume, or how to use the indicator to make entries and exits.

Key ideas

• The indicator computes VWAP over weekly, monthly, and yearly periods.
• Each value is cumulative typical price weighted by volume since the period began.
• The calculation requires volume data for the instrument.
• The document explains plotting but provides no tested trading strategy or performance evidence.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.