Should you buy above or below VWAP?

Buying above VWAP aligns you with bullish intraday momentum, while buying below VWAP positions you for mean reversion or value, so the right choice depends on strategy.

Trend traders enter long when price breaks above VWAP with strong volume and use it as a support level.

Mean-reversion traders do the opposite, buying when an asset trades below its VWAP because it could be considered undervalued.

Institutional traders aim to buy below VWAP and sell above it to achieve better-than-average execution prices.
Confirm with volume before committing either way.