Volume Weighted Average Price (TASC May 2001)

To implement VWAP Support and Resistance in NeuroShell Trader, first create three intermediate indicators. Select ‘New Indicator …’ from the ‘Insert’ menu to create each of the following indicators using the Indicator Wizard:

CumPv:
CumulativeSum ( Multiply2 ( Average2(High, Low), Volume ), 0 )

CumV:
CumulativeSum ( Volume, 0 )

Bar#:
CumulativeSum ( Add2(1,0), 0 )

The second step to implementing VWAP Support and Resistance in NeuroShell Trader, is to create the SWAP Support and Resistance indicator based upon the intermediate indicators. Select ‘New Indicator …’ from the ‘Insert’ menu to create the following indicator:

VWAP Support and Resistance:

Divide (
Sub ( CumPv, SelectiveLag( CumPv, A=B(Bar#,25), 1) ),
Sub ( CumV, SelectiveLag( CumV, A=B(Bar#,25), 1) ) )

In the indicator above, the VWAP Support and Resistance line starts at the 25th bar on the chart. To make the VWAP Support and Resistance line start at different points on the chart, simply change the two number 25’s in the indicator to a different starting bar number. You can use the intermediate indicator Bar# to determine the bar number of any given point on the chart.

Users of NeuroShell Trader can go to the STOCKS & COMMODITIES section of the NeuroShell Trader free technical support Website to download a VWAP Support and Resistance custom indicator, Bar# custom indicator and an example VWAP Support and Resistance chart.


File Download

tip0501vwap.exe

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