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Is the Anchored Volume Weighted Average Price Anchor Point Arbitrary?

Earl Christian

Anchored VWAP calculates the volume-weighted average price starting from a user-selected anchor point, such as an earnings release or swing low. Because selecting the anchor point is entirely subjective, traders can select arbitrary start dates until the line aligns visually with price action. Does Anchored VWAP reflect true institutional cost basis or self-fulfilling confirmation bias?

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  • Earl ChristianOP

    Why do two traders anchored to different candles on the exact same daily chart get completely opposite support and resistance signals from the Anchored VWAP tool?

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