Singular and Cumulative Volume Delta (SVD+CVD)

The Singular and Cumulative Volume Delta (SVD+CVD) indicator provides a comprehensive visual breakdown of market buying and selling pressure by calculating individual bar delta alongside a cumulative oscillator based on a trailing window. It is designed to help traders identify shifts in momentum and exhaustion by comparing immediate volume flows against historical accumulation.

Usage

This tool can be used to identify trend strength and potential reversals through two primary data sets:

• Singular Delta: Represented by columns, this shows the net difference between buying and selling volume for the current bar.
• Cumulative Volume Delta (CVD): This calculates the net delta over a specific lookback period (e.g., 14 bars). It acts as a trailing window oscillator, showing whether the recent trend is dominated by buyers or sellers.

Traders can utilize the Sustain Levels to anticipate market shifts. The "Delta Sustain" level indicates the specific singular delta value required for the current bar to keep the Cumulative Delta flat. If the actual delta exceeds this level, the CVD trend accelerates; if it fails to reach it, the CVD trend weakens.

Details

The indicator employs a logic that divides candle volume based on price action. It assigns volume to "Buy" or "Sell" categories by analyzing the body length relative to the wicks. A portion of the wicks is distributed to both sides, while the body carries the dominant weight.

Unlike standard CVD tools that accumulate from the start of the chart, this implementation uses a Trailing Window approach. This allows the CVD to function more like an oscillator, preventing the values from growing indefinitely and making it easier to spot localized divergences and trend exhaustion.

Settings

Show

• Delta (Singular/Cumulative): Toggles the visibility of the individual bar delta and the accumulated delta line.
• Buy/Sell (Singular/Cumulative): Displays the raw buy and sell volume components.
• Cumulation Line: Displays a vertical marker indicating where the current lookback window began.
• Sustain Level: Shows the required delta value to maintain the current CVD level.
• Initial Levels: Displays the starting values of the current cumulation window for comparison.

Parameters

• Cumulation Type: Choose between SUM (simple addition), EMA (exponential), or SMA (simple moving average) for the accumulation logic.
• Cumulation Length: Sets the lookback period for the trailing window.
• Scale Factor: Adjusts the visual size of the cumulative data relative to singular data.
• Normalize MAs: When using EMA/SMA, this setting scales the results to match the range of the SUM calculation for better visual consistency.

FAQ

How do I interpret the Sustain Levels?

The Sustain Level acts as a benchmark. If the current bar's volume delta is higher than the Sustain Level, the Cumulative Volume Delta will rise. If it is lower, the CVD will fall. It is a predictive tool for momentum shifts.

What is the advantage of a trailing window over standard CVD?

Standard CVD often becomes skewed by historical data from hours or days ago. A trailing window focuses on the most recent "N" bars, providing a more relevant view of current market participation and local supply/demand imbalances.

How can I access this indicator?

You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.