ViniciusAraujo_2752

VWAP (Volume Weighted Average Price) is an essential tool for traders, as it combines price and volume, showing the volume-weighted average price of an asset over a specific period.

Repeat after me: "When the price breaks the VWAP, it is a sign of a possible significant candle, either up or down."

A VWAP break indicates a strong influx of buying or selling orders, reflecting significant changes in market strength. Therefore, it is common to see great volatility right after the break.

📊 In practice:

Breakout upwards: can signal the entry of buying force, potentially leading to significant highs.

Breakout downwards: suggests selling pressure, which can result in rapid declines.

Use VWAP as an ally to identify dynamic support and resistance zones and plan your entries and exits in the market. But remember: no indicator works alone. Combine it with other technical factors and risk management!

$BTC #VWAP