Delta Volume Signals

The Delta Volume Signals indicator provides a comprehensive breakdown of buying and selling pressure by analyzing intra-bar price action and volume distribution. It calculates the delta volume—the difference between buying and selling volume—and visualizes this data through on-chart signals, candle-based color coding, and a detailed information table to help traders identify shifts in market momentum.

Usage

The Usage section focuses on interpreting the various visual cues provided by the tool.

• Information Table: A dynamic dashboard displays real-time statistics including net Buy/Sell volume, percentage distributions, and a "Δ Volume Force" metric. This allows for a quick assessment of which side of the market is currently in control.
• EMA Crossovers: The script includes a fast and slow EMA system. When these EMAs cross, the indicator generates signals, which can be further filtered by a volume confirmation requirement to reduce noise.
• Candle Volume Overlays: Users can enable a visual representation of volume directly on the candles, where the price action is colored based on the dominant volume force (Buy or Sell) within that specific period.
• Trend Bars: The table includes a trend strength meter (Δ SMA Tend) based on the moving average of volume percentages, providing a visual gauge of how sustained the current pressure is.

Details

The script approximates buy and sell volume by looking at the relationship between the candle close and its high/low range. It assumes that volume associated with the move from the low to the close represents buying pressure, while the remainder is selling pressure.

The "Δ Volume Force" is calculated as the absolute difference between these two values. Additionally, a Simple Moving Average (SMA) is applied to the Buy and Sell percentages to smooth out the data and identify longer-term shifts in order flow, rather than reacting to single-bar spikes.

Settings

Style

• Volume on Candles: Toggles the visual volume distribution overlay on the price candles.
• Volume Buy/Sell Colors: Customizes the primary colors used for bullish and bearish volume representation.
• Table/Label Position & Size: Adjusts the UI elements to fit your workspace preferences.

Signals

• Signal Colors: Defines the colors for the up and down crossover signals.

EMA

• EMA Toggle: Enables or disables the Exponential Moving Averages on the chart.
• Fast/Slow Length: Sets the lookback periods for the EMA crossover logic.
• Volume Confirmation: When enabled, signals only trigger if the current volume exceeds its recent average, ensuring the move is backed by market participation.
• Alert Frequency: Controls whether alerts trigger immediately upon a cross or wait for the candle to close.

SMA

• SMA Length: Sets the period for the SMA applied to the Buy/Sell percentage calculations used in the trend meter.

FAQ

How do I access Delta Volume Signals? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.

What does the "Δ Volume Force" represent? It represents the net difference between buying and selling volume. A positive value indicates more buying pressure, while the color of the box indicates the direction of the current candle's momentum.

Can I use this for scalping? Yes, by adjusting the EMA lengths and the SMA lookback, the indicator can be tuned for lower timeframes to capture short-term order flow imbalances.