The Absolute Truth in Trading: How Anchored VWAP Became Wall Street’s Secret Weapon

Welcome to a fast-track guide on one of the market’s most misunderstood tools: Anchored Volume Weighted Average Price (AVWAP). Whether you’re a new trader or seasoned pro, this will open your eyes to why AVWAP has become Wall Street’s secret weapon—and why you should care.

What Is Anchored VWAP and Why Does Wall Street Swear By It?

Simple answer: It tells you who’s in control—buyers or sellers—from any key moment.

Unlike average sentiment indicators that guess how people “feel,” AVWAP shows where real money traded, weighted by volume, anchored to meaningful events like earnings, IPOs, or major highs/lows. That’s why top Wall Street firms rely on it.

The “Holy Trinity” of Trading:

• • Price
• • Volume
• • Time

Anchoring to a specific event makes AVWAP far more revealing than standard VWAP.

Why the Anchored VWAP Beats All Other Sentiment Indicators

Traditional sentiment tools are guesswork—AVWAP is hard data. It shows instantly if most traders are winning or losing from a key point:

• • Flexible: Anchor to any event—earnings, highs/lows, IPOs.
• • Objective: Exposes when sellers or buyers really have the upper hand, no matter what social media says.

Using AVWAP: Quick Tips & Resources

• • Anchor to key events (earnings, IPO, market highs/lows, etc.)
• • Always wait for price confirmation
• • Works everywhere: stocks, futures, forex, crypto
• • Use multiple anchors in volatile markets
• • Keep risk tight—size down when volatility spikes

Q&A: Managing Risk, Strategies, and More

• • Risk: Cut size when emotions run high; use tight stops in volatile markets.
• • Strategies: Market conditions change—learn several AVWAP strategies (Brian explains six+ in his book).
• • Track what’s “in play”: Watch leading tickers and sectors, but always confirm with AVWAP/price action.
• • Review your trades: Use tools like TradeZella to analyze and improve.

Stay disciplined. Stay data-driven. And as always, only price pays™.