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Best VWAP Trading Strategy for Day Trading (Very EASY to Use)

#Cryptocurrency
2025-08-11 16:578 min read

Content Introduction

In this video, the presenter outlines a simple trading strategy using the Volume Weighted Average Price (VWAP) on Bitcoin. He explains how to quickly implement this strategy on Trading View or other trading systems. The strategy focuses on identifying bullish markets, waiting for price drawdowns to make trades, and utilizing both VWAP and simple moving averages to determine entry points. The speaker advises starting trades at certain drawdown percentages to manage risk effectively, highlighting the importance of not overexposing oneself when trading cryptocurrencies with leverage. He also shares tools for tracking market behavior, emphasizing the role of VWAP in entering trades during upward trends and monitoring drawdown occurrences. The video concludes with the presenter encouraging viewers to check links for more trading strategies and resources related to trading platforms, along with a reminder that trading, by its nature, includes risks.

Key Information

  • The video introduces a simple VWAP trading strategy that can be quickly implemented on price charts, specifically using Bitcoin as an example.
  • VWAP (Volume Weighted Average Price) is used in trading systems and can be found on platforms like Trading View.
  • The speaker suggests setting the VWAP anchor period to weekly for better trading insights.
  • The strategy involves looking for bullish market conditions and waiting for pullbacks to enter trades at lower prices.
  • Entries are suggested at various drawdown percentages (10%, 15%, 20%) while using a 50-period moving average as a reference.
  • The VWAP serves as a guide for identifying potential entry points during pullbacks in a bull market.
  • The video emphasizes the importance of managing risk and using leverage carefully to avoid liquidations.
  • The speaker shares their personal trading preferences and strategies while also providing links to trading platforms and potential discounts.

Timeline Analysis

Content Keywords

VWAP Trading Strategy

This video introduces a simple VWAP (Volume Weighted Average Price) trading strategy that can be implemented quickly, primarily focusing on Bitcoin. It discusses using Trading View to implement VWAP in one's trading system, explaining how it operates within an uptrend, highlighting the importance of entry points during market corrections.

Trading Indicators

The presenter guides viewers on using VWAP and a simple moving average on a daily price chart to make trading decisions. The VWAP resets weekly and can be used alongside other indicators to identify entry points during market corrections.

Market Analysis

The video emphasizes the significance of observing market trends and understanding potential drawdowns while trading. It suggests looking for bullish markets and waiting for corrections to enter trades at optimal prices to minimize risks.

Entry Points

The script outlines strategies for entering trades during pullbacks in a bullish market, recommending multiple entry points at varying drawdown levels (10%, 15%, 20%) to manage risk effectively.

Risk Management

A discussion on the importance of risk management in trading, especially when using leverage. The speaker highlights the significance of having a buffer to protect against significant losses, which could result from market fluctuations.

Trading Platforms

The video references trading platforms such as Apex and Bybit, offering links for viewers to access these services, which include bonuses and trading fee discounts.

Related questions&answers

What is VWAP?

VWAP stands for Volume Weighted Average Price, which is an indicator used in trading that gives the average price a security has traded at throughout the day, based on both volume and price.

How do I implement a simple VWAP trading strategy?

You can start by accessing indicators on your trading platform, such as Trading View, and looking for VWAP. You can then use the VWAP on the price chart to identify potential trading opportunities.

Do I need to use Trading View for VWAP?

No, you don't have to use Trading View specifically, but many traders prefer it because it is free and widely used.

What settings should I use for VWAP?

You can set the VWAP to reset every week or use a daily price chart to analyze the asset, such as Bitcoin.

What type of market conditions do I need for a successful VWAP trading strategy?

VWAP trading works best in bullish markets where the prices are generally rising.

How do draw downs affect VWAP trading?

Wait for draw downs within an uptrend to enter trades at lower prices, decreasing the likelihood of further draw downs and increasing your chances of profit.

What leverage should I use while trading with VWAP?

Using 2x leverage can provide a buffer against draw downs, allowing for potential profit even with significant price fluctuations.

How do I know when to enter a trade using VWAP?

You want to enter when the price is below the VWAP, which could indicate a potential reversal back to an upward trend.

Is it possible to lose trades using this strategy?

Yes, like all strategies, there is potential for losses, especially in bearish markets or during larger draw downs.

Where can I find more information on trading strategies?

You can find more in-depth trading strategies and links to trading platforms like Apex and Bybit in the description below the video.

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