VWAP (volume-weighted average price)
The average price of a period with each price weighted by the volume traded at it: Σ(price × volume) ÷ Σ volume. On charts, usually restarted every day.
Why it matters
It tells you where price stands against the average paid: above it, buyers at the average are in profit; below it, at a loss.
Education only, not financial advice · All terms