Institutional Weighted Cost Line Strategy (VWAP Strategy)



Logic Explanation: VWAP (Volume Weighted Average Price) is widely regarded as the average entry cost for institutions. When the price deviates too far from VWAP, it tends to revert; when the price remains steadily above VWAP, it indicates institutional bullish activity.

* Detailed Operations:

* Load Indicator: Enable the VWAP line on intraday charts.

* Entry: If the price breaks above VWAP from below with supporting volume, and the pullback does not break below, it is a buy point.

* Assistance: Use "Volume Distribution (Fixed Range Volume Profile)" to identify value area high (VAH) and low (VAL).

Case Study:

BTC has been trading below the VWAP line during the Asian session. After the US market opens, it breaks above VWAP with volume.

* Operation: Enter long on the pullback to VWAP.

* Result: The price steadily rises along the VWAP line at a 45-degree angle, a typical institutional manipulation to push the price higher.
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