The VWAP Envelopes indicator from VolSys allows you to display the VWAP, the volume-weighted average price of trades made during a certain period of time and their standard deviations. These last represents a way to measure price volatility relative to the volume-weighted average value. Standard deviations are bands that are plotted above and below the VWAP to identify the average distance of prices from the mean value. Each standard deviation indicates a "band" in the price range, providing traders with an idea of how far price is deviating from the VWAP, showing Premium and Discount zones.  

INDEX

• Use Settings
• General
  • Period Mode
  • Period Value
  • Evelope Mode
• Envelope
• Series

Use Settings

Clicking on the indicator settings icon will open its configuration window, within which you will be able to make several choices regarding the functionality of the indicator itself.

General

Period Mode

Lets you define the reference period for calculating the indicator, specifically you can choose between:

• Days

Show VWAP for the last n days.

• Minutes

Show VWAP for the last n minutes.

Using the minute calculation mode results in a shorter period VWAP, allowing more tracking of price and volume movement in the intraday.

Period Value

Defines the value of the period indicated in the previous item.

Evelope Mode

Defines how the Envelopes are calculated, specifically you can choose between:

• Standard Deviation

Envelope calculation is based on standard deviations.

• Price Percentage

The Envelope calculation is based on the percentage change in price.

Envelope

In this section you can define the parameter for the Envelope calculation.

Series

In this section you can change the color and thickness of the VWAP and Envelope lines.

If you want to hide a standard deviation click Series style and select Ignore.