Cumulative Volume Delta Histogram [TradingFinder] CVD Histogram🔵 Introduction
To fully understand Cumulative Volume Delta (CVD), it’s important to start by explaining Volume Delta. In trading, "Delta" refers to the difference between two values or the rate of change between two data points. Volume Delta represents the difference between buying and selling pressure for each candlestick on a chart, and this difference can vary across different time frames.
A positive delta indicates that buying volume exceeds selling volume, while a negative delta shows that selling pressure is stronger. When buying and selling volumes are equal, the volume delta equals zero.
The Cumulative Volume Delta (CVD) indicator tracks the cumulative difference between buying and selling volumes over time, helping traders analyze market dynamics and identify reliable trading signals through CVD divergences.
🔵 How to Use
Cumulative Volume Delta (CVD) is an essential technical analysis tool that aggregates delta values for each candlestick, creating a comprehensive indicator. This helps traders evaluate overall buying and selling pressure over market swings.
Unlike standard Volume Delta, which compares the delta on a candle-by-candle basis, CVD provides a broader view of buying and selling pressure during market trends. A downward-trending CVD suggests that selling pressure is dominant, which is typically a bearish signal.
Conversely, an upward-trending CVD indicates bullish sentiment, suggesting buyers are in control. This analysis becomes even more valuable when compared with price action and market structure, helping traders predict the direction of asset prices.
🟣 How to Use CVD in Trend Analysis and Market Reversals
Understanding how to detect trend changes using Cumulative Volume Delta is crucial for traders. Typically, CVD aligns with market structure, moving in the same direction as price trends.
However, divergences between CVD and price movements or signs of volume exhaustion can be powerful indicators of potential market reversals. Recognizing these patterns helps traders make more informed decisions and improve their trading strategies.
🟣 How to Spot Trend Exhaustion with CVD
CVD is particularly effective for identifying trend exhaustion in the market. For instance, if an asset's price hits a new low, but CVD doesn’t follow, this might indicate a lack of seller interest, signaling potential exhaustion and a possible reversal.
Similarly, if an asset reaches a new high but CVD fails to follow, it can suggest that buyers lack the strength to push the market higher, indicating a possible reversal to the downside.
🟣 How to Use CVD Divergence in Price Trend Analysis
Another effective use of CVD is identifying divergences in price trends. For example, if CVD breaks a previous high or low while the price remains stable, this divergence may indicate that buying or selling pressure is being absorbed.
For instance, if CVD rises sharply without a corresponding increase in asset prices, it may suggest that sellers are absorbing the buying pressure, which could lead to a strong sell-off. Conversely, if prices remain stable while CVD declines, it may indicate that buyers are absorbing selling pressure, likely leading to a price increase once the selling subsides.
🟣 CVD Display, Candlestick vs. Histogram – What’s the Difference?
CVD can be displayed in two different formats :
Candlestick Display : In this format, the data is shown as green and red candlesticks, each representing the difference in buying and selling pressure over a given time period. This display allows traders to visually analyze market pressure along with price changes.
Histogram Display : Here, the data is represented as vertical green and red bars, where each bar’s height corresponds to the volume delta. This format offers a clearer view of the strengths and weaknesses in market buying and selling pressure.
🟣 What are the Key Settings for CVD?
Cumulative Mode : CVD offers three modes: "Total," "Periodic," and "EMA." In "Total" mode, CVD accumulates the delta from the beginning to the end of the session. In "Periodic" mode, it accumulates volume periodically, resetting at specific intervals. In "EMA" mode, the CVD is smoothed using an Exponential Moving Average (EMA) to filter out short-term fluctuations.
Period : The "Period" setting allows you to define the number of bars or intervals for "Periodic" and "EMA" modes. A shorter period captures more short-term movements, while a longer period smooths out the fluctuations and provides a broader view of market trends.
Market Ultra Data : This feature integrates data from 26 major brokers into the volume calculations, providing more reliable volume data. It’s important to specify the type of market you are analyzing (Forex, crypto, etc.) as different brokers contribute to different markets. Enabling this setting ensures the highest accuracy in volume analysis.
🔵 Conclusion
Cumulative Volume Delta (CVD) is a powerful technical indicator that helps traders assess buying and selling pressure by aggregating the delta values of each candlestick. Whether displayed as candlesticks or histograms, CVD provides insights into market trends, helping traders make informed decisions.
CVD is particularly useful in identifying divergences and exhaustion in market trends. For example, if CVD does not align with price movements, it can signal a potential trend reversal. Traders use this tool to fine-tune their entry and exit points and better predict future market movements.
In summary, CVD is a versatile tool for analyzing volume data and understanding the balance of buying and selling pressure in the market, making it an invaluable asset in any trader’s toolkit
Cumulative
Cumulative Volume Delta Divergence [TradingFinder] Periodic EMA🔵 Introduction
The Cumulative Volume Delta (CVD) is a powerful tool in technical analysis that is derived from market volume or trading activity. The Cumulative Volume Delta Divergence Detector Indicator helps traders identify Cumulative Volume Delta Divergences (CVD Divergence), which can provide reliable trading signals.
These divergences, such as bullish and bearish CVD divergences, act as key indicators of potential trend reversals in financial markets. By analyzing CVD divergences, traders can gain insights into the strength of buying and selling pressure and make more informed predictions about price trends.
The CVD indicator is particularly effective for traders who engage in day trading and scalping, as it helps identify price reversal points by analyzing volume and price behavior.
Using the CVD indicator in combination with other technical tools such as support and resistance levels and candlestick patterns allows for a more accurate market analysis.
🔵 How to Use
Divergences are one of the most important technical analysis signals that indicate the current strength of a price move may not be sustainable.
Cumulative Volume Delta Divergence helps traders identify potential trading opportunities that may not be visible on the price chart alone.
This type of divergence examines the relationship between buying and selling volume and price, enabling traders to better understand price trends.
🟣 Bullish CVD Divergence
A bullish CVD divergence occurs when the price makes a lower low, but the CVD indicator shows a higher low. This indicates increasing buying pressure in the market, even though the price is declining. In other words, despite the price dropping, buyers are gradually gaining strength, which could signal a price reversal and the start of a bullish trend.
How to use this signal : In this scenario, traders looking to go long can use this signal as a favorable opportunity to enter the market. After a bullish divergence, the market typically tends to move upward.
To reduce risk, traders can wait for further confirmation from the price chart. For example, if the price breaks through the previous high after the divergence or breaks a resistance level, this could be a more reliable signal for entering the market.
🟣 Bearish CVD Divergence
A bearish CVD divergence is the opposite of a bullish divergence. In this type of divergence, the price makes a higher high, but the CVD indicator shows a lower high. This indicates decreasing buying pressure and weakening momentum in the current bullish trend. A bearish divergence often serves as a warning of a potential market reversal to the downside.
How to use this signal : Traders can use this divergence as an opportunity to exit long positions or enter short positions. When the CVD indicator makes a lower high compared to the price, it signals weakness in buyer strength.
If traders receive further confirmation from the price chart, such as a break of key support levels or an increase in selling volume, this can serve as a stronger signal for the beginning of a bearish trend.
🟣 How to Build a Trading Strategy with Cumulative Volume Delta Divergence
Using CVD divergence alone may not be sufficient. Traders should combine this tool with other technical analysis techniques and indicators to have more confidence in their decisions. For example, when observing a CVD divergence, traders can also analyze volume, trend lines, or candlestick patterns to get a more accurate market analysis.
Additionally, risk management should always be a priority. Using stop-loss orders and properly sizing trades can help traders minimize their losses if they make a mistake.
🔵 Setting
Divergence Fractal Period : Determines the period of swings. The minimum and default value is 2.
CVD Period : You can set the period of " Periodic " and " EMA " modes.
Cumulative Mode : It has three modes "Periodic" and "EMA". In "Periodic" mode, it accumulates the volume periodically and in "EMA" mode, it calculates the moving average of the volume.
Market Ultra Data : If you turn on this feature, 26 large brokers will be included in the calculation of the trading volume. The advantage of this capability is to have more reliable volume data. You should be careful to specify the market you are in, FOREX brokers and Crypto brokers are different.
🔵 Conclusion
The Cumulative Volume Delta (CVD) indicator is a powerful tool in technical analysis, helping traders better identify price trends and make more accurate market predictions. By identifying CVD divergences, traders can anticipate price reversals and time their market entries and exits accordingly.
Bullish and bearish CVD divergences each provide valuable signals that can help traders identify the best entry and exit points in the market. A bullish CVD divergence signals strength in buying that will likely lead to a price increase, while a bearish CVD divergence indicates weakness in the bullish trend and the potential for the beginning of a bearish trend.
Overall, combining CVD with other technical analysis tools and employing risk management strategies can help traders make better trading decisions and capitalize on available market opportunities.
Cumulative Delta [TradingFinder] Volume + Periodic + EMA🔵 Introduction
To fully grasp the concept of Cumulative Volume Delta (CVD), it's essential first to understand Volume Delta. In trading and technical analysis, the term "Delta" typically refers to the difference between two values or the rate of change between two data points.
Volume Delta represents the difference between buying and selling pressure, calculated for each candlestick on a chart. This difference can vary across different timeframes.
A positive delta indicates that buying volume exceeds selling volume, while a negative delta shows that selling volume is greater. When buying and selling volumes are equal, the volume delta equals zero.
🟣 What is Cumulative Volume Delta (CVD)?
Cumulative Volume Delta (CVD) is a powerful tool in technical analysis that aggregates delta values for each candlestick, creating a comprehensive indicator that helps traders assess market trends.
Unlike the standard Volume Delta, which compares delta on a candle-by-candle basis, CVD provides insight into the overall buying and selling pressure during key market swings. A downward-trending CVD suggests that selling pressure is dominating, which is typically a bearish signal.
Conversely, an upward-trending CVD indicates bullish sentiment. This analysis becomes even more significant when comparing CVD with price action and market structure, helping traders to predict asset price directions.
By evaluating market highs and lows, one can determine the market trend. A consistent rise in these points indicates an uptrend, while a consistent fall suggests a downtrend.
🔵 How to Use
Understanding how to detect trend changes using Cumulative Volume Delta is crucial for traders. Typically, CVD aligns with market structure, moving in the same direction as price trends.
However, divergences between CVD and price trends or signs of exhaustion in volume can be powerful indicators of potential market reversals. Recognizing these patterns can help traders make informed decisions and improve their trading strategies.
🟣 Identifying Trend Exhaustion with Cumulative Volume Delta (CVD)
The Cumulative Volume Delta (CVD) indicator is especially effective in identifying weakening trends in the market. For instance, if gold's price hits a new low, but CVD does not follow suit, this may indicate a lack of seller interest despite the new low, signaling potential seller exhaustion.
Most traders interpret this as a possible reversal from a bearish to a bullish trend. Similarly, if gold reaches a new high but CVD fails to do the same, it can suggest that buyers lack the strength to push the market higher, indicating a possible trend reversal.
🟣 Utilizing Cumulative Volume Delta (CVD) Divergence in Price Trend Analysis
Another effective use of CVD is identifying divergences in price trends. For example, if CVD breaks a previous high or low while the price remains stable, this divergence often indicates that buying or selling pressure is being absorbed.
For instance, if CVD rises sharply without a corresponding increase in gold prices, it may suggest that sellers are absorbing the buying pressure, potentially leading to a strong sell-off. Conversely, if gold prices remain stable while CVD declines, it could indicate that buyers are absorbing selling pressure, likely leading to a price increase once selling subsides.
🔵 Setting
Cumulative Mode : It has three modes "Total", "Periodic" and "EMA". In "Total" mode, it collects the volume from the beginning to the end. In "Periodic" mode, it accumulates the volume periodically and in "EMA" mode, it calculates the moving average of the volume.
Period : You can set the period of " Periodic " and " EMA " modes.
Market Ultra Data : If you turn on this feature, 26 large brokers will be included in the calculation of the trading volume.
The advantage of this capability is to have more reliable volume data. You should be careful to specify the market you are in, FOREX brokers and Crypto brokers are different.
🔵 Conclusion
Cumulative Volume Delta (CVD) is a powerful analytical tool in financial markets that helps analysts and traders assess buying and selling pressure by aggregating and combining the volume delta for each candlestick.
CVD can indicate the strength or weakness of a market trend. When CVD moves upward, it signals that buying pressure is dominant and is considered a bullish signal; conversely, a downward movement in CVD indicates that selling pressure is stronger and is viewed as a bearish signal.
This indicator is particularly effective in identifying divergences and exhaustion in market trends. For example, if CVD does not align with price movements, it may suggest a potential trend reversal.
Traders use this information to make more informed trading decisions, especially when identifying entry and exit points in the market.
Overall, CVD is a tool that enables analysts to better understand market fluctuations and more accurately predict future market trends.
Breadth - MTF Cumulative New Highs - New LowsBreadth - MTF Cumulative New Highs - New Lows
📈 Plots cumulative 52W New Highs - New Lows with various timeframes/exchanges.
There are already similar scripts available. This just adds more exchanges and timeframe options.
Key Features :
🔄 Repaint Control: Toggle between repainting and non-repainting modes to align with your trading approach.
📊 Adjustable Timeframes: Fine-tune the timeframe multiplier to fit your analytical needs.
📉 MA Integration: Leverage a Moving Average to identify and follow trends.
🔄 Exchange Selection: Choose from a range of markets for targeted analysis.
Trading with Awareness:
This tool is designed to augment your trading strategy by offering additional insights. It's not a crystal ball for market behavior but a lens to view market dynamics more clearly.
Usage:
Primarily intended for educational and informational purposes. Not to be taken as direct investment advice.
Liquidation Estimates (Real-Time) [LuxAlgo]The Liquidation Estimates (Real-Time) experimental indicator attempts to highlight real-time long and short liquidations on all timeframes. Here with liquidations, we refer to the process of forcibly closing a trader's position in the market.
By analyzing liquidation data, traders can gauge market sentiment, identify potential support and resistance levels, identify potential trend reversals, and make informed decisions about entry and exit points.
🔶 USAGE
Liquidation refers to the process of forcibly closing a trader's position. It occurs when a trader's margin account can no longer support their open positions due to significant losses or a lack of sufficient margin to meet the maintenance requirements.
Liquidations can be categorized as either a long liquidation or a short liquidation. A long liquidation is a situation where long positions are being liquidated, while short liquidation is a situation where short positions are being liquidated.
The green bars indicate long liquidations – meaning the number of long positions liquidated in the market. Typically, long liquidations occur when there is a sudden drop in the asset price that is being traded. This is because traders who were bullish on the asset and had opened long positions on the same will now face losses since the market has moved against them.
Similarly, the red bars indicate short liquidations – meaning the number of short positions liquidated in the futures market. Short liquidations occur when there is a sudden spike in the price of the asset that is being traded. This is because traders who were bearish on the asset and had opened short positions will now face losses since the market has moved against them.
Liquidation patterns or clusters of liquidations could indicate potential trend reversals.
🔹 Dominance
Liquidation dominance (Difference) displays the difference between long and short liquidations, aiming to help identify the dominant side.
🔹 Total Liquidations
Total liquidations display the sum of long and short liquidations.
🔹 Cumulative Liquidations
Cumulative liquidations are essentially the cumulative sum of the difference between short and long liquidations aiming to confirm the trend and the strength of the trend.
🔶 DETAILS
It's important to note that liquidation data is not provided on the Trading View's platform or can not be fetched from anywhere else.
Yet we know that the liquidation data is closely tied in with trading volumes in the market and the movement in the underlying asset’s price. As a result, this script analyzes available data sources extracts the required information, and presents an educated estimate of the liquidation data.
The data presented does not reflect the actual individual quantitative value of the liquidation data, traders and analysts shall look to the changes over time and the correlation between liquidation data and price movements.
The script's output with the default option values has been visually checked/compared with the liquidation chart presented on coinglass.com.
🔶 SETTINGS
🔹Liquidations Input
Mode: defines the presentation of the liquidations chart. Details are given in the tooltip of the option.
Longs Reference Price: defines the base price in calculating long liquidations.
Shorts Reference Price: defines the base price in calculating short liquidations.
🔶 RELATED SCRIPTS
Liquidation-Levels
Liquidity-Sentiment-Profile
Buyside-Sellside-Liquidity
MW Volume ImpulseMW Volume Impulse
Settings
* Moving Average Period: The moving average period used to generate the moving average line for the bar chart. Default=14
* Dot Size: The size of the dot that indicates when the moving average of the CVD is breached. Default=10
* Dot Transparency: The transparency of the dot that indicates when the moving average of the CVD is breached. Default=50
* EMA: The exponential moving average that the price must break through, in addition to the CVD moving
* Accumulation Length: Period used to generate the Cumulative Volume Delta (CVD) for the bar chart. Default=14
Introduction
Velocity = Change in Position over time
Acceleration = Change in Velocity over time
For this indicator, Position is synonymous with the Cumulative Volume Delta (CVD) value. What the indicator attempts to do is to determine when the rate of acceleration of buying or selling volume is changing in either or buying or selling direction in a meaningful way.
Calculations
The CVD, upon which these changes is calculated using candle bodies and wicks. For a red candle, buying volume is calculated by multiplying the volume by the spread percentage of the average of the top and bottom wicks, while Selling Volume is calculated multiplying the volume by the spread percentage of the average of the top and bottom wicks - in addition to the spread percentage of the candle body.
For a green candle, buying volume is calculated by multiplying the volume by the spread percentage of the average of the top and bottom wicks - plus the spread percentage of the candle body - while Selling Volume is calculated using only the spread percentage average of the top and bottom wicks.
How to Interpret
The difference between the buying volume and selling volume is the source of what generates the red and green bars on the indicator. But, more specifically, this indicator uses an exponential moving average of these volumes (14 EMA by default) to determine that actual bar size. The change in this value indicates the velocity of volume and, ultimately, the red and green bars on the indicator.
- When the bar height is zero, that means that there is no velocity, which indicates either a balance between buyers and sellers, or very little volume.
- When the bar height remains largely unchanged from period to period - and not zero - it means that the velocity of volume is constant in one direction. That direction is indicated by the color of the bar. Buyers are dominating when the bars are green, and sellers are dominating when the bars are red.
- When the bar height increases, regardless of bar color, it means that volume is accelerating in a buying direction.
- When the bar height decreases, regardless of bar color, it means that volume is accelerating in a selling direction.
The white line represents the moving average of the bar values, while the red and white - and green and white - dots show when the moving average has been breached by the Cumulative Volume Delta value AND the price has broken the 7 EMA (which is user editable). As with most moving averages, a breach can indicate a move in a bearish or bullish direction, and the sensitivity can be adjusted for differing market conditions
Other Usage Notes and Limitations
For better use of the signal, consider the following,
1. Volume moving below the moving average can indicate that the volume may be ready to exit an overbought condition, especially if the bars were making lower highs prior to the signal - regardless of bar color.
3. Volume moving above the moving average can indicate that the volume may be ready to exit an oversold condition, especially if the bars were making higher lows prior to the signal - regardless of bar color.
Additionally, a green dot that occurs with a positive (green) Cumulative Volume Delta can indicate a buying condition, while a red dot that occurs with a negative (red) Cumulative Volume Delta can indicate a selling condition. What this means is that buying or selling momentum briefly went against the direction of buying or selling Cumulative Volume Delta , but was not strong enough to change the buying or selling direction. In cases like this, once the volume begins to accelerate again in the direction of the buying or selling volume - indicated by a red or green dot - then the price is more likely to favor the direction of the Cumulative Volume Delta and its corresponding acceleration.
Although a red or green signal can indicate a change in direction, this script cannot predict the magnitude or duration of the change. It is best used with accompanying indicators that can be used to confirm a direction change, such as a moving average, or a supply or demand range.
Cumulative TICK [Pt]Cumulative TICK Indicator, shown as the bottom indicator, is a robust tool designed to provide traders with insights into market trends using TICK data. This indicator visualizes the cumulative TICK trend in the form of colored columns on a separate chart below the main price chart.
Here's an overview of the key features of the Cumulative TICK Indicator:
1. Selectable TICK Source 🔄: The indicator allows users to choose from four different TICK data sources, namely USI:TICK , USI:TICKQ , USI:TICKI , and $USI:TICKA.
2. TICK Data Type Selection 🎚️: Users can select the type of TICK data to be used. The options include: Close, Open, hl2, ohlc4, hlc3.
3. Optional Simple Moving Average (SMA) 📊: The indicator offers an option to apply an SMA to the Cumulative TICK values, with a customizable length.
4. After-hour Background Color 🌙: The background color changes during after-hours to provide a clear distinction between regular and after-hour trading sessions.
🛠️ How it Works:
The Cumulative TICK Indicator uses TICK data accumulated during the regular market hours (9:30-16:00) as per the New York time zone. At the start of a new session or at the end of the regular session, this cumulative TICK value is reset.
The calculated Cumulative TICK is plotted in a column-style graph. If the SMA is applied, the SMA values are used for the column plots instead. The columns are colored green when the Cumulative TICK is positive and red when it is negative. The shades of green and red vary based on whether the Cumulative TICK is increasing or decreasing compared to the previous value.
This is a simple yet powerful tool to track market sentiment throughout the day using TICK data. Please note that this indicator is intended to be used as part of a comprehensive trading strategy. Always ensure you are managing risk appropriately and consulting various data sources to make informed trading decisions.
Awesome Cumulative Volume OscillatorThe indicator is called the "Awesome Cumulative Volume Oscillator" (ACVO), which analyzes the cumulative trading volume of the underlying asset.
The indicator also plots the deviation of the cumulative trading volume from the first SMA value, which is referred to as the "Cumulative Volume Deviation". The zero-line is plotted as a reference point.
If the "Cumulative Volume Deviation" is greater than 0, it indicates an uptrend, as the cumulative trading volume is above the first SMA value. If the "Cumulative Volume Deviation" is less than 0, it indicates a downtrend, as the cumulative trading volume is below the first SMA value.
However, it is important to note that using a single indicator is not sufficient to conduct a comprehensive market analysis. It is necessary to combine multiple indicators and analysis methods to make informed trading decisions.
Big 8 Intraday TICKAt the start of each trading day (0930 EST), this indicator calculates the intraday price difference between open and close for the eight largest market cap stocks (AAPL, AMZN, GOOGLE, META, MSFT, NFLX, NVDA, and TSLA), assigns a +/-1 for each, and then plots the cumulative change. An EMA has been added for smoothing purposes that is set to 5 but can be changed. Please note indicator is best used on lower timeframes (15 min or less) and has no applicability to time frames above 1 hour.
The thought behind this indicator is those eight major stocks drive a majority of intraday price change in indices like SPY and QQQ that are heavily weighted towards these stocks, therefore they should be a leading indicator in price change. You can often catch a move in SPY or QQQ one to two bars (on 1 min chart) ahead of the actual move because you see this indicator moving strong to one direction.
It's not perfect as there are divergences you will see when you compare historical charts, but oftentimes those divergences ultimately lead to significant price swings in the same direction as this indicator, so recommend being on watch to pull the trigger when you see those and price confirms.
You can use this indicator in a few ways:
1. Confirmation that your current trade is in the same direction as this indicator
2. Use the zero cross as a trigger for put or call entry
3. Focusing only on calls/longs if the value is above 0, or only puts/shorts if the value is below zero. Just be sure to keep an eye on reversals.
If you have recommendations on how to improve, let me know and I'll do my best to make changes.
Fixed Quantum CDVWe took the original script Cumulative delta volume from LonesomeTheBlue, here is the link:
To understand the CDV you can watch traders reality master class about CDV.
This indicator show the ratio of vector color and the ratio of the cumulative delta volume from vector color.
First you select a date range on the chart. Then it calculate all candles in that region. Let's say there is 3 green vectors and 3 red vectors in the region, the ratio of vector color will be 50% for bull and 50% for bear vector. As for the CDV ratio, it will measure the total CDV inside green vector and total CDV inside red vector and make a ratio. But it is a little different.
I twisted the calculation for the ratio of CDV a little bit to make it more comprehensive in the table. Since it's the ratio of the CDV for the bull candles versus the bear candles, the CDV is almost always a positive number for the bull candles and almost always a negative number for the bear candle. So I calculated the bear CDV as a positive number. Formula: Bull_CDV_ratio = Bull_CDV / (Bull_CDV + Bear_CDV), Bear_CDV_ratio = -Bear_CDV / (Bull_CDV - Bear_CDV).
Note that when the bull CDV and bear CDV are both a positive number or both a negative number, the ratio percentage can be over 100% and under 0%. It means that we expect volatility.
Enjoy!
Volume CVD and Open Interest HeatmapTaking Volume and Open Interest data to the next level of visualization I created a 'heatmap'. The indicator uses a colour gradient and plots boxes from the source candle to the current candle with one of the following data sources:
- Volume - the total volume of transactions, buys and sells
- Up Volume - the total volume from buys only
- Down Volume - the total volume from sells only
- Up/Down Volume (Net) - the difference in the Buy Volume and Sell Volume
- Cumulative Delta - the sum of the up/down volume for the previous 14 bars
- Cumulative Delta EMA - a smoothed average of the sum of the up/down volume for the previous 14 bars, over a 14 period EMA
- Open Interest - a user defined ticker, whose value is added to the plot, while this is designed to be used with Open Interest tickers, you can actually choose any ticker you want, perhaps you want to see DXY while charting Bitcoin!
You can define the lookback period, though you should make sure your timeframe for volume source data, is high enough to accommodate the lookback. TradingView will only fetch 5000 candles worth of data, so at 1 min volume data, you can only lookback 83 hours.
While similar, Volume and Open Interest are not the same. To me the simplest explanation is Volume shows the trades that have been executed and the buy/sell direction, while Open Interest shows the value of open trades that are yet to be completed.
Volume shows strength, sentiment and volatility .
Open Interest does not show direction, but does indicate momentum and liquidity in the market.
With this novel way of visualizing these, you can also now determine where all that liquidity and positions came from and therefore might have resting liquidity below.
Volume CVD and Open InterestVolume, Cumulative Delta Volume and Open Interest are great indications of strength and sentiment in the market. Until now they have required separate indicators, but this indicator can show them all.
With a clean and aesthetic plot, this indicator has the option to choose the data source:
- Volume - the total volume of transactions, buys and sells
- Up Volume - the total volume from buys only
- Down Volume - the total volume from sells only
- Up/Down Volume (Net) - the difference in the Buy Volume and Sell Volume
- Cumulative Delta - the sum of the up/down volume for the previous 14 bars
- Cumulative Delta EMA - a smoothed average of the sum of the up/down volume for the previous 14 bars, over a 14 period EMA
- Open Interest - a user defined ticker, whose value is added to the plot, while this is designed to be used with Open Interest tickers, you can actually choose any ticker you want, perhaps you want to see DXY while charting Bitcoin!
There are several customization features for the colour of the plot, with a nice gradient colouring from high to low. You can choose the lookback which defines only the highest and lowest values for the colour gradient. There is also an option for how the Open Interest value is determined, based on Close, Open or differences between previous values.
While similar, Volume and Open Interest are not the same. To me the simplest explanation is Volume shows the trades that have been executed and the buy/sell direction, while Open Interest shows the value of open trades that are yet to be completed.
Volume shows strength, sentiment and volatility.
Open Interest does not show direction, but does indicate momentum and liquidity in the market.
Realtime Cumulative DeltaThis is a Real time volume Delta indicator which has to run real time on the chart to capture observation.
Start it when the session starts and log the data and observe. It plots histograms as well as candlesticks of the the cumulative volume delta, from the style switch whichever you want.
It is done based on real time tick and not based on candlesticks, so the accuracy of volume delta is more. Uptick volumes are added as buy and downtick volumes as sell which is the actual way of calculating CVD
Apply the CVD concepts for trading results.
WAP ⸗ Weighted Average PricingsOur W.A.P ( Weighted Average Pricing s ) indicator is made of four different types of "WAPs". We have added the two common types known as VWAP and TWAP . In addition, we added our two custom types known as CWAP and GWAP . Each is plotted using a fully customizable two-tone color palette represented by Bullish or Bearish. In addition, each WAP has a toggle line-extensions and price labels option.
This indicator has been pre-configured for Day-Trading and Scalping .
• VWAP : Volume Weighted Average Pricing
• TWAP : Time Weighted Average Pricing
• CWAP : Cumulative Weighted Average Pricing
• GWAP : Geometric Weighted Average Pricing
Additional script features allow for fully adjustable settings and configurations:
• Adjustable; Colors
• Adjustable; Resolutions
• Adjustable; Parameters
• Adjustable; Price Labels
• Adjustable; Line Extensions
• Adjustable; Toggles
Cumulative DeltaThis scripts calculates the cumulative volume delta within the current day.
Options allow you to change the display type of this data (3 different configurations are given in the chart above)
The following options are available:
Colors selection
Reset cumulative delta everyday (can be disable to keep a continuous calculation of the delta over days)
Show histogram (used to display the delta as a positive/negative histogram)
Show daily High/Low levels (draw highest and lowest delta levels within the day)
Show candles (display the cumulative delta as candles)
Show Moving average (display a moving average which is reseted everyday at the same time as the cumulative delta itself)
Moving average length
This script will be updated if I feel the need to improve things or to add new features
Long Term: Cumulative Moving AverageWho to use?
This indicator is for Long Term Investors or for Position trading and not for Day traders.
What time-frame to use?
• Daily, Weekly or Monthly
What is Blue line?
• Blue line is Cumulative Moving Average. It is cumulative sum of closing price.
• It is a trend reversal level.
• It is a strong support level.
• If price is below Blue line better not to take any Long position until it crosses above it.
What are Red lines?
• Red lines are Multiplier levels.
• These are target levels to exit the position.
• It can be breakout or pull back levels.
• The level combination numbers can be fully odd or even numbers.
• For example in certain stocks the working levels will be 1x, 3x, 5x etc., in others it will be even numbers like 2x, 4x, 6x etc.
• In some cases the levels need to be tweaked with custom decimals like 1.1x, 2.1x, 3.1x, 4.1x etc. to align the support & resistance levels.
How to use?
Entry
• Enter when the Price reach closer to the Blue line.
• Enter Long when the Price takes a pullback or breakout at the Red lines.
Exit
• Exit position when the Price reach closer to the Red lines in Long positions.
Indicator Menu
• Works only in higher time-frames like D, W & M.
• Will not work in Lower time-frames less than "D" or the Launch Date shows wrong in Lower time-frames.
Multipliers:
(Read above What are Red lines?)
Launch Date:
• Launch Date: Starting date of stock when it appeared in the exchange. Works only in D, W & M timeframes.
• Years: Total number of years from the Launch Date. Accurate date will be shown in Daily timeframe.
• Candles Count: Total number of candles from the Launch Date in the current timeframe.
Labels:
• First number is last traded price.
• Second number in () is percentage change from last traded price to that level.
Dollar Weighted Cumulative SPY Sectors VolumeThis plots the combined volume of the subsectors of the SPY using (open+close)/2, both per bar (narrow candles) and cumulative (wide faded candles).
This aims to use dollar volume and weights each sector individually in dollar amounts. NOT with the weighting used in the SPY index. This indicator is NOT equally weighted., it is weighted according to each subsector's own dollar volume.
Green lines means there is more money flowing into the subsectors combined than out. This is a breadth indicator.
Green and red crosses indicate divergence.
Green crosses are shown when the SPY is outperforming this indicator.
Red crosses are shown when this indicator is outperforming the SPY.
Perhaps the best use of this indicator is to stop you from being aggressive when the whole market isn't moving with you.
Enjoy! Feel free to ask any questions.
+ Rate of ChangeNOTE!* If you were using my previous + Rate of Change (and OBV) indicator, I will not be updating that. OBV was moved to my + Breadth & Volume indicator.
This indicator here is basically and updated version of the old indicator, without OBV.
The Rate of Change, or RoC, is a momentum indicator that measures the percentage change in price between the current period and the price n periods ago.
It oscillates above and below a zeroline, basically showing positive or negative momentum.
I applied the OBV's calculation to it, but without the inclusion of volume (also added a lookback period) to see what would happen. I rather liked the result.
I call this the "Cumulative Rate of Change." I only recently realized that this is actually just the OBV without volume, however the OBV does not have a lookback period, and this indicator does.
Doing some more fiddling, I realized that removing both the signum and the volume from the calculation gets you basically a price chart, but calculated as the change in price over n periods. I'm leaving this in because maybe someone discovers they really like having a line chart with moving averages or some other indicator on it to leave their main chart indicator free (giving a more clear look at price action). Can't hurt, right?
Default lookback is set to 1, but play with longer settings (especially if using the traditional RoC, which is by default in TV set to 10, and is nigh on useless at 1--I like 13).
Default source is set to each candle close, but give ohlc4 a look. It smooths out the indicator a bit, and because it's an average of the open, high, low, and close it should give a better idea of what price in general is doing.
Moving averages, Bollinger Bands, Donchian Channels, candle coloring and alerts are my usual additions.
Below are some comparison images of the different indicators wrapped up in here.
Comparison of Cumulative Rate of Change with two different sources. Lookback set to 1.
Cumulative Rate of Change as a price chart, essentially.
And, lastly, the traditional Rate of Change indicator.
+ Balance of PowerThe Balance of Power is an indicator that measures the strength of buyers versus that of sellers in the market, and needs to be smoothed by a moving average to be of much practical use (come to think of it, most indicators are smoothed by a moving average; this is why the RSI lookback mostly commonly used is 14, and not 1, but I digress...). I suppose it is possible to use it without smoothing, but that would be very difficult I think.
The oscillator pivots around a center line, and as with most indicators like this, above 0 is generally considered bullish in a bullish trend, and vice versa in a downtrend.
It can be good for spotting divergences (moreso with smaller lookback periods than I like).
To wit, you might be wondering why I have the default lookback period set at such a large number. My only answer I can give is that I prefer it that way.
The indicator is quite choppy, even when smoothed. The long period helps me to make beter sense of the data (smooth it with a Hull or Jurik MA and you get a different story, though).
In my version of this indicator I provide a pretty broad selection of moving averages with which one may choose to smooth out the BOP, as well as an EMA provided to use as a sort of signal line for trade entries and/or exits, taking partial profits, scaling into a position, etc.
I've also added the option for a second BOP, which is on by default. I think you might find the results interesting by pairing differently smoothed BOPs together.
Of course, you don't have to use both. In the case of the default settings you might look at the EMA-BOP crossing the JMA-BOP as an opportunity to look into exiting or entering trades.
Candle coloring is, as usual, included. I'd say I kind of overdid it here, but that seems to be my style. I just couldn't deal with the fact that with the indicator set to cumulative modes there is no zero line, therefor the color of the indicator plot and the candle coloring would not match the color swatches for bullish/bearish colors. So, there are selections for cumulative indicator/candle colors, and standard indicator/candle colors. Donchian Channels obviously doesn't matter because the colors of things are based on the channel only.
I've added Donchian channel bands (which I've begun adding to many of my indicators), and all necessary alerts as well.
The Donchian Channels can be a really effective tool for entering and exiting trades. I haven't mentioned it in my other indicators that have it, so I will here:
The outermost edge of the band is that which references the indicator for where it is plotted, and the inner channel is sort of dragged along, creating the band
It's a simple mathematical calculation that TradingView actually provided themselves in their manual for pinescript.
When the BOP (or any other indicator using this) enters the band and then exits that could be an indication that price may be reversing, this the bands themselves act, or rather, show a current area of support/resistance for the BOP plot.
One thing that I did with it that they did not, is give the user the ability to change the width of the band. It can only go so narrow, obviously, but anywhere from three (quite wide) to eight is probably sufficient.
I've also provided the option of plotting the BOP as a cumulative line (like OBV), making it no longer an indicator which oscillates around a central pivot.
Because the balance of power is plotted as an accumulation, you may actually want to set the lookback to 1 (it works because it's not an oscillator then).
If you wish to smooth the noise, I suspect a low number would be acceptable here, but it's not necessary.
Oh, and lastly (almost forgot, as this was a late addition), I've added options for the BOPs calculated with volume as well. Gives a different bit of a perspective on the market, versus the traditional version which does not include volume. Screenshots below.
The above image is the balance of power calculated with volume. You can see the obvious difference versus the traditional indicator, where price is in a downtrend and you'd want to sell the orange.
Cumulative version. Looks a lot like OBV.
Cumulative version with volume.
Net VolumeNet Volume, or NV in short, is a cumulative volume indicator similar to OBV and A/D. Though it might look similar to these two indicators (especially A/D), rest assured it's better and more accurate than both. What it basically does, is dividing the volume session into buyers and sellers volumes; then subtracts former from the latter and adds the result to previous session's net volume (In the script, these two intermediate volumes are not calculated and only the subtraction is formulated in an integrated form).
Another important difference between NV and A/D indicator, is that it brings price gaps into account. That's why it requires next session's open price to calculate current session's NV. What it actually mean is that the price gap, in either direction, is the result of the traders' efforts in respective direction in previous session, as if the current session closes where next session opens.
Cumulative Symbol ChangeSome symbols in trading view are cumulative - meaning they increment continuously throughout the trading day and are reset to 0 at the new trading day.
For example USI:CVOLM (Call Volume in Miami).
This script subtracts the current cumulative value from the prior cumulative value, so the change/delta in the cumulative value can be determined bar-by-bar.
Cumulative Volume DeltaCumulative Delta Volume is one of the key analysis in figuring out the Volume Price Action dependencies
Its very Intuitive in nature,
The below image shows how it is computed!
Enjoy
[co.n.g] - Simple CVD over MAThis Single Volume Delta (SVD), respectively Cumulative Volume Delta (CVD) is a really simple script computing the difference of the volume of the actual in comparison the the volume of the "Calculation Bars Threshold", calculated by smoothing through a simple moving average - the "CVD MA Smoothing".
Therefore, if the "Calculation Bars Threshold" and the "CVD MA Smoothing" are set to 1, the script will display the difference of the actual compared to the previous candle;
furthermore, if the "Calculation Bars Threshold" is set to 3 and the "CVD MA Smoothing" is set to 14, then the indicator will display the the summed difference of the past 3 values, smoothed over a period of 14 candles.
This indicator may also be set to a different time frame, allowing multi time frame analysis; f.e. if you're going to set a lower time frame than the actual, the deltas of the lower time frame will be displayed and will be showing the volume trend of the lower time frame; if you're going to set a higher time frame, this is respectively working as described.
To understand volume and price action, it is - imho - especially helpful to display the volume of higher time frames to visualize the "Where the heck am I and what are the big players doing?"
This indicator is coloring the histogram in green as positive, red as negative and gray as indecisive CVD.
Hopefully, this will be helpful in your VSA and your trading decisions.
Cheers,
Constantine
p.s.: I am also working on a far more sophisticated version of SVD/CVD, so stay tuned!
