--- title: 'VWAP + 9 EMA: A Great Setup or the Lie Many Gurus Tell?' source: 'https://youtube.com/watch?v=WqZWAaRQAHc' video_id: 'WqZWAaRQAHc' date: 2026-08-23 duration_sec: 720 channel: 'Manual do Trader' --- # VWAP + 9 EMA: A Great Setup or the Lie Many Gurus Tell? > Source: [VWAP + 9 EMA: A Great Setup or the Lie Many Gurus Tell?](https://youtube.com/watch?v=WqZWAaRQAHc) ## Summary This video explains how to use two free indicators—VWAP and the 9-period exponential moving average—to trade pullbacks, while emphasizing that risk management and psychology are the real keys to success. The hosts demonstrate the setup on Bitcoin charts and warn against relying on any single indicator or secret guru tools. ### Key Points - **The Two Indicators Revealed** [00:02] — The two indicators are VWAP (Volume-Weighted Average Price) and a 9-period exponential moving average (EMA). They are free and available on platforms like TradingView, Profit Chart, and MetaTrader. - **What VWAP Represents** [01:41] — VWAP is the average price weighted by volume, showing where most buying and selling occurred. It represents the 'fair price' of the day from the market's perspective. If price is above VWAP, buyers are in control; below, sellers are in control. - **Institutional Use of VWAP** [02:22] — Institutions like holding companies, funds, and banks use VWAP to evaluate whether their trades were good. It reveals where large players are active. - **The Pullback Setup** [02:51] — The most common VWAP setup is the pullback: price tests VWAP and reacts. However, price may not always react, so using only one indicator is dangerous. - **Combining with 9-Period EMA** [03:17] — The 9-period EMA is added to confirm the trend and timing. The setup works on 1-minute and 5-minute charts, using Bitcoin as an example. - **Buy Signal Rules** [04:12] — For a buy, price must be above VWAP. Mark the candle that breaks out, then buy on the pullback to that candle. Stop loss is placed below the breakout candle. Exit when price closes below the 9-period EMA. - **Sell Signal Rules** [06:06] — For a sell, price must be below VWAP. Mark the candle that breaks down, then sell on the pullback. Stop loss is above the breakout candle. Exit when price closes above the 9-period EMA. - **Backtesting and Customization** [08:18] — Traders can adjust the strategy, such as using different risk-reward ratios (e.g., 2:1 or 3:1). Backtesting is essential to find what works. - **Psychology as the Third Indicator** [09:53] — Psychology is crucial but often ignored. Even with perfect setups, losses happen—it's statistics, not personal failure. Revenge trading after a stop-loss is dangerous and leads to more losses. - **Final Summary** [11:02] — VWAP shows context, the 9-period EMA shows timing, but neither guarantees success without risk management and a solid plan. These indicators are used by big players but are useless without discipline. ### Conclusion The video delivers a practical trading strategy using VWAP and a 9-period EMA, but stresses that risk management and psychological discipline are the true determinants of success. Without them, even the best indicators lead to account blow-ups. ## Transcript to open your manual. I am Louis. And I am Ricardo. And did you know that I saw a only two indicators, manages to make over $000 a day? done. Yes, but here's the thing, the indicators he uses are good. The problem is not the tool. The real problem is thinking that the tool alone will pay all your we're going to show you what these two indicators are, how they really work, and most importantly, why over 90% of traders end up blowing up their accounts without risk management. Okay , so press the intros, take a long , so press the intros, take a long sip of coffee, and call for the jingle. Beverly Hills sponsorships. So, the first one is simple, it's the viewp, it's the volume-weighted average price . And the second one is even simpler; it's simply a nine-period exponential moving average, meaning no crystal ball or some secret indicator being sold for 12 times 197 by some miracle guru? I And besides, if someone sells you a secret indicator, be suspicious and run away. Furthermore, ViewOP and the moving average are free and you can use them on any platform. It could be on TradingView, Profit Chart, or Metatrader. And in fact, the reason so many traders use these indicators is very simple. They show where the big money is and also what the short-term trend is. It's not magic, it's simply the statistics of market behavior. The NAV (Net Present Value) consists of the average price of the asset traded on a given day, weighted by volume. In other words, it's not just the average price, it's the average price across the areas where the most people were buying and selling the asset. Translating into English, of course, it's precisely the fair price of the day, obviously from the market's perspective. If the price is above the VOAP rate, generally whoever is buying is in control. But whoever is buying is in control. But if it's below market value, whoever is selling is in control. And the key point is that the institution, whether it's the holding company, the institution, whether it's the holding company, fund, or bank, makes extensive use of the V app to determine if it made a good purchase or a bad one. This indicator is not just of a large player. It's precisely about knowing where the wealthy people really are, where these large institutions are profiting from, or who they are profiting from. If the rich person's restaurant is full, you want to know why. Strange analogy, but okay, you got the idea across, right? And the most commonly used setup with the Vapp is the pullback, right? The price goes there, tests the Vapp, and reacts in breakup. The price breaks out sharply, between buyers and sellers. between buyers and sellers. And here is the first red alert. Just because the price has affected the app doesn't mean it will react. Sometimes he goes straight for it without mercy. [laughs] That's why nobody, and I mean nobody, should operate using only a single indicator. Therefore, we're going to use the nine-period moving average to finalize our equation. That's it. On-screen graph. We're here on BingX, right, on asset, we're using Bitcoin as an example here, right? But it doesn't matter anymore. In the one-minute interval, it can also be used in the five-minute interval; there wouldn't be a problem. So, first we're going to set our nine-period exponential moving average . Yeah, I'm making it a little blue, but it doesn't matter Yeah, I'm making it a little blue, but it doesn't matter . And our view app is now also pink, right, with these values ​​here, which is the anchor period in the session, OK? Because it's done during the day, super simple, easy to put on the screen. We're going to try to operate through the reversal, right? The pullback in the view. So, we saw a view here, right? This rose here would be it. When the price touches it, when it breaks through, we'll mark it. So, in this case here, even so, the signal is bullish. Why is it tall? Because it's above the view. If we only think about buying, what are we going to think about? So, looking here, I'm going to zoom in here to make it easier to see. The candle that breaks out, we mark it. Why? Because when the price goes back down, we're going to buy, right? In this case, because we 're thinking about the climb, about the pullback, right? So, we'll buy when the price breaks through this candle here. So, we'll mark this place, we'll mark this as our entry point. So, if the price is right here, we'll buy it. What is our stop? It's super simple, at its core, right? Based on the pullback technique. So, that's our stop. So what is our way out? Our exit from the trade, whether with a profit or not (in this case, it will be without profit), is always when the price closes below the nine-period moving average. this candle here, and it went up, up, up. It actually made a pretty good profit, but then he went and closed it down. When it closed below, here the average is nine, right? He closed it down here. This is our closing price, this is the n't close because we would be losing to recover, then we'd close at our stop loss, right? Unfortunately, I would lose even more money on that, but what if it starts to go up again? So that's our hope, OK? So, since we're always buying, we'll only always buying, we'll only close with a profit below the the nine-period moving average, we close the trade, or if there's no profit, in this case, we leave it there until the stop loss is triggered. So here we were stopped out, we lost a little bit of money, it happens . Let's move on to the next operation. What happened here? He came, he came, he broke through down here, didn't he? Okay, let me zoom out here to explain it better. So, we saw that this downward trend continued, which it should have continued already, but pullback in the pin, it was just a continuation of this trend. So, what happened? So, it came here, and stopped us out, right, with this candle here, it stopped us out, it made a lower low than the previous low, so trend change. Still, VOAP is on top. Hey, are you going to buy here again? No, I'm not going to buy here again because it went even lower. So here we do n't do anything, we don't buy, we don't sell, we don't do anything, because it's not indicating to us that the market is good, it's a sideways downward market, right, for selling. So you wouldn't get anything done here. Then he came back and returned here. This is a point where we need to be wary. Why? Because you've already seen that the market is in a downward trend. So, where would our sales entry point be? It would be at this point here. So, the sales entry point be? It would be at this point here. So, the candle that broke upwards, right, our inverted pullback, right, a pullback to the sell side, in this case, we make our entry. So, if you look, he went, went up, went up, went up, we're already marked here, look, mine because he was the one who broke it. It went up, up, oops, it started to go down, down, down, boom, sale. We've finalized our sale here. So, our stop here is up, meaning it's the reverse of the other operation we did. And what is our gain? The strategy dictates that our profit, or where we'll stop our trade, is when the candle closes above our nine-period moving average. So we would stop our operation up here at the top, a little more at the close above the nine-period moving average. That's our profit. So that would be our profit here. Here. Ox has already left a lot of money on the table. We left. This is the operation. Oh no, but I don't want to operate that way. I want to see what the size of my stop loss is, and I want to do two for one, I want to do three for one. No problem, give it a try and see what works for you. So, that's what backtests are for, right? This setup was put together for that purpose. You will close the trade when the price reverses and closes above the average. So, a little extension here, look. It even deserves a like, right? If you enjoyed this, please give our video a like and follow our channel for more strategies. If you look a little further ahead here, look, I wasn't even going to record this, but if I look a little further ahead, the strategy came back to me. Look, he came here to do the pullback stunt. We mark the candle that broke out, which was this little goat here. Come here, book the sale here. When it hits that price, the sale here. When it hits that price, we come here, set the stop here, and we come here, set the stop here, and case, there would be a loss, right? Because, oh, closing above the average of nine would mean a not going to close, of course, right? Wait, anything can hit the stop button. It wasn't at the stop sign. He kept going down, down, down, down. This would be our game. That would be low, that would be low. But here's the thing, if you want to do it that way, this would be our game. We would close the deal here with just this small bit of profit. If you wanted to continue and were using a trailing stop or any other strategy, uh, you make a partial sale and continue with the remainder, then the strategy worked, you looked, you would look here and look what another wonderful sale was made. Yes, it's absurd like that. So, leave a like, okay? And closing with the topic we talk about most here, psychology, which by the way should be the third indicator of this video, but unfortunately that doesn't get views and doesn't sell courses. That 's true, isn't it? So pay attention. Without saving screen space, you can have the perfect setup, you see? OP and the nine-period exponential moving average are aligned there, everything's nice and neat. And still aligned there, everything's nice and neat. And still take a break. And that's normal, it's fine, it's statistics, it's not a personal failure on your part. The real danger is the reaction after that stop-loss, that revenge, that "I'm going to go back in to recover," but then without a strategy, without anything, just on impulse It's like arguing with Uber because they cancelled the ride. It's over. This does not change the outcome. It will only cause you more stress and lower your grade. That's a strange analogy again, but okay, right? The best indicators in the world don't angrily. So, in summary, for those who have made it this far So, in summary, for those who have made it this far , well, the viewpoint shows the context, the nine-period exponential moving average will show you the timing, but neither of them will guarantee that you can jump headfirst into a place without a safety net and ignore risk management and your These indicators are really good tools . They are used by the big players in the market, but they are really good for those who don't have a plan. It's money. If you enjoyed this video, leave a like, and comment below if you already used VIP. So subscribe to the channel here, check out our Instagram, follow us there too, and take a look at this video here, it's sure to be amazing, it 'll brighten your day, and make you smarter when it comes time to trade. Until the smarter when it comes time to trade. Until the next video.