Anchored VWAP (AVWAP) Indicator

Explore the Anchored VWAP (AVWAP) indicator, a powerful technical analysis tool. Learn its calculation, deviation bands, and how to configure it in NinjaTrader.

Published · Updated · Methodology: Technical Indicators

Part of: VWAP Strategies

  • Methodology: Technical Indicators
  • Content type: indicator

Indicators used

  • Anchored VWAP (AVWAP)

Source video

Decoded from: Unknown by Unknown — watch the original

Key timestamps:

  • 0:00 - Introduction to Anchored VWAP
  • 0:15 - Difference from traditional VWAP
  • 0:45 - Basic formula explanation
  • 1:25 - Deviation bands calculation
  • 1:55 - Configuration options in NinjaTrader
  • 2:20 - How to activate the tool

Strategy overview

Anchored VWAP (AVWAP) is a volume-weighted average price calculated from a starting point the trader chooses — a swing high, an earnings gap, a news candle — instead of from the clock-driven start of a session. What makes this entry unusual is that the source video is not a trading setup at all: it is a tool primer. Its chapters run from what the indicator is, to how it differs from traditional VWAP, to how the calculation works, to the deviation bands drawn around it, and then to configuration and activation inside NinjaTrader. In roughly two and a half minutes it covers the instrument and stops.

That structure is worth reading rather than dismissing. The chapter that carries the most weight is the second one — the difference from traditional VWAP — because that difference is the entire discretionary surface of the tool. Session VWAP asks nothing of the operator; the anchor picks itself when the bell rings. Anchored VWAP hands that decision back, and every level the indicator subsequently prints is downstream of it. The deviation-band chapter then extends the same idea: the anchored line is treated not as a single reference but as the center of a distribution, so that distance from the average becomes readable rather than merely visible. The final two chapters are platform mechanics — where the settings live and how to turn the thing on.

So the honest framing is that this video ends precisely where a strategy would begin. No entry or exit conditions, no timeframes, no instruments and — most importantly — no criteria for choosing the anchor were extracted from it, because none were presented. What it delivers is a working understanding of a NinjaTrader implementation of AVWAP and its band structure. The decision that actually determines what the tool shows you is left to the operator, and anyone using this as a starting point should treat anchor selection as the open question rather than an implementation detail.

Topics

anchored vwap · avwap indicator · technical indicators · technical analysis · tradingview strategy · pine script · ninjatrader indicator · vwap strategy · drawing tool · market analysis

Frequently asked questions

What is the difference between Anchored VWAP and traditional VWAP?

Traditional VWAP resets automatically at the start of each session, so its starting point is fixed by the clock. Anchored VWAP starts from a point the trader selects — a specific candle or event — which means the level it produces depends entirely on that choice. The source video devotes an early chapter to exactly this distinction.

What are the deviation bands around an Anchored VWAP?

They are bands plotted at statistical distances from the anchored average, turning a single line into a distribution with a center and outer edges. The idea is to make it readable how far price has stretched from the volume-weighted average since the anchor, rather than only whether it is above or below it. The video includes a chapter on how these bands are calculated.

Does this video teach how to trade with Anchored VWAP?

No. It is an indicator walkthrough rather than a strategy: it covers the concept, the calculation, the deviation bands, and how to configure and activate the tool in NinjaTrader. No entry rules, exit rules, timeframes or anchor-selection criteria were extracted from it, because the video does not present any.

Is Anchored VWAP only available in NinjaTrader?

No — the source video demonstrates a NinjaTrader implementation, but anchored VWAP is a calculation rather than a platform feature and is available on most modern charting platforms, including TradingView. Strategy Decoder catalogs video-sourced entries like this one so you can see what a source actually covers before committing time to it.

About this strategy page

This trading strategy was decoded by Strategy Decoder's AI from a public YouTube trading video and turned into a structured, reviewable specification. In the interactive app this page shows the full entry and exit logic, risk management settings, the indicators involved with their parameters, AlgoWizard-compatible logic and a Pine Script export ready for TradingView backtesting — plus an automated backtest verdict when one has been computed for this strategy.

Strategy Decoder catalogs 2,229 decoded strategies. Each one is extracted with confidence scoring, cross-linked to the indicators it uses, and kept up to date as new videos are processed daily. Load this page with JavaScript enabled to use the interactive tools, or start from the strategy explorer to filter by methodology, market and timeframe.

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