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The chart has the anaDailyPivotsV42 indicator and an enhanced commercial version (not available open source) of the anaCurrentDayVWAPV42 applied. You can download the indicators here
but will need to draw the lines showing yesterday's VWAP and the VWAPs 2 and 3 days ago manually. Both indicators can be set to calculate from ETH or RTH data.
Neither one from the links you`ve given contains the Value Area feature.Is it also in the enhanced anaDailyVWAP version?If so,can you suggest the separate prior day Value Area indicator on nexusfi.com (formerly BMT)?
There is not one bias for the trading day, but there are different lookback periods to consider.
3-day bias
I typically use a 3-day rolling VWAP to get an overview. The chart below shows that the trend bias changed from short to long on December 17. On December 18 price opened above the 3-day value area.
The current day VWAP also shows a long scenario, as the average price of each consecutive day was higher. You would therefore buy value (yesterday's value area) or engage in an intraday countertrade. On such a day I am allowed to buy the lower 2SD band (in line with the long bias), but I am not allowed to sell the upper 2SD band. The upper 2SD band should only be used for exits.
After a strong trending day, the probability for a range bound day is increased. As value has considerably shifted on the prior day, the new value area needs to be tested and either confirmed or rejected. On the contrary, if prices have been moving around directionless the prior day and closed in the middle of the daily range, a strong move becomes more likely. However, this case depends on the news that are expected for the current trading day. If there are no news, then another directionless day may follow.
The width of the pivot range can be used as indicator:
wide pivot range: yesterday closed near high or low, probability for a range bound day is increased
narrow pivot range: yesterday's market closed near the midline, you may expect a breakout (depending on news)
Since you use 2 distinct measures for today's trend bias :
1. Yesterday and Day before Yesterday Pivots
2. Yesterday and Day before Yesterday VWAPs
From your experience, does one provide a better edge than the other ?
E.g. Say after a trend day, pivots tend to work better for trend bias.
E.g. if pivots and VWAP provide conflicting signals, generally Pivots tend to work better?
Or do they pretty much have an equal edge? Just thinking out aloud here.
I use both VWAPs and pivots on my chart. They reflect different timeframes, for example
Today's prices are above the main pivot PP -> meaning: the market trades above yesterday's value
Today's prices are above the current day's VWAP -> meaning: the market trades above today's value
The pivot range is up -> meaning: yesterday's close was in the upper half of the range, the bull trend is the first scenario retained, unless pivot range is broken
could you please provide with more details?Main pivot PP is equal the previous day VWAP?And what does the ''pivot range is up'' mean?Hard to guess,an image maybe?