VWAP is Shannon's primary indicator because it accounts for both price and volume simultaneously. He refers to it as the "Institutional Truth" because it represents the true average price at which a stock has traded during a specific session.
By ignoring small dips on the daily chart, you avoid being shaken out of a long-term winner. technical analysis using multiple timeframes brian shannon
Shannon recommends anchoring VWAP to several key points: VWAP is Shannon's primary indicator because it accounts
In the fast-moving world of stock trading, many retail traders approach the markets with a single, often overwhelming, perspective—focusing on just one chart. This single-lens view is akin to reading only one sentence of an entire novel; it provides a fraction of the necessary information. To truly understand the market's "story," one must adopt a more holistic approach. This is the central premise behind the work of , whose seminal book, Technical Analysis Using Multiple Timeframes , provides a comprehensive methodology for interpreting market signals through a multi-lens framework. Shannon recommends anchoring VWAP to several key points: