Using VWAP

Discussion in 'Technical Analysis' started by eusdaiki, Oct 31, 2006.

  1. Im interesting on learning how do institutions use VWAP when filling their orders... what kind of setup should I use if I wanted to use it as a guideline for my trading?
  2. generally speaking, a common saying is that - if you can't beat the VWAP, you probably don't have much futures as (at least as an institutional ) trader

    iow, say that you want to accumulate ABC

    over the course of the next 2 weeks

    if you can beat the VWAP over the next two weeks with your entries - you need to work on your chops.

    VWAP is also a nice way of insuring you get a 'decent" entry price. merely by entering a VWAP order prior to market opening, you can be guaranteed to get the VWAP price by the end of a day.

    that's pretty kewl. it's kind of like a dollar cost average thing. instead of thinking you are smarter than the average trader, a VWAP order ensures you get the average entry.
  3. Let me rephrase, where can I get the current VWAP for a particular stock {in real time}?
  4. Surdo


  5. IGolf


  6. rcj


    Eusd. ... QT calulates vwap. I use IB for data. Works for
    stocks and futures.

    ... rj
  7. I just started using the DDE / RTD feed from DTN and it has VWAP for every stock in real time...

    now i need to check with some place that has an accurate vWap so i can compare...

    anyway... check with DTN or eSig (if they have a vWap field)...

    Inside the spreadsheet pulling the DDE / RTD data, I am going to add up all the Last Prices's in the sp500 and also the vWAP prices and chart the totals of both against each other in Sierra Charts to see where the SPX is in relation to its own vWap




    HAVE STOP <img src=> WILL TRADE
  8. medved quote tracker.
  9. #10     Nov 2, 2006