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Glossary
VGlossary

Volume-Weighted Average Price (VWAP)

An asset’s volume-weighted average price (VWAP) is calculated by taking the average of every trade in a specified time period.

An asset’s volume-weighted average price (VWAP) is calculated by taking the average of every trade in a specified time period. Each trade is weighted proportionally to the quantity of the order. In regard to a specific order that is filled at multiple prices, the VWAP can be calculated on aggregate by looking at net quantity and net price.

Related Terms
Time-Weighted Average Price (TWAP)VolumeLiquidity

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