Enhanced Cumulative Volume Delta + MA

The Enhanced Cumulative Volume Delta + MA indicator tracks cumulative buying and selling pressure by analyzing the delta between up and down volume, allowing traders to identify trend strength and potential market reversals.

Usage

The indicator visualizes Cumulative Volume Delta (CVD) through color-coded candles. Teal candles represent positive delta (buying pressure), while red candles represent negative delta (selling pressure).

Traders can use the following features for market analysis:

• Trend Confirmation: Use rising CVD and positive delta to confirm uptrends, and falling CVD with negative delta to confirm downtrends.
• Moving Average Smoothing: Three customizable moving averages help filter noise and identify long-term volume trends.
• Volume Breakouts: Triangle markers appear when the CVD crosses the 3rd moving average (MA3). A green triangle up appears when CVD crosses above MA3 during a Supertrend-confirmed uptrend, while a red triangle down appears when CVD crosses below MA3 during a downtrend.
• Trend Squares: Small squares at the top or bottom of the pane indicate the relationship between volume (relative to MA3) and price trend (Supertrend), highlighting high or low volume participation in current trends.
• Divergence: Discrepancies between price action and CVD can signal weakening momentum or upcoming reversals.

Details

This script utilizes the ta.requestVolumeDelta function to scan lower timeframe data for more precise up/down volume calculations. It combines traditional CVD analysis with a Supertrend filter and multiple moving averages to provide a multifaceted view of market liquidity and momentum. The indicator also includes built-in error handling to notify users if the selected symbol lacks volume data.

Settings

Data Calculation

• Anchor period: Sets the timeframe over which the cumulative volume is reset or calculated.
• Use custom timeframe: Allows the manual selection of a lower timeframe for delta calculation.
• Timeframe: The specific lower timeframe used when "Use custom timeframe" is enabled.

Visuals & Moving Averages

• Show 0 Level Line: Toggles the visibility of the zero baseline.
• Show Moving Averages: Enables or disables all three moving average plots.
• MA Type (1, 2, 3): Selects between SMA, EMA, or None for each average.
• MA Length (1, 2, 3): Sets the lookback period for the respective moving averages.

Supertrend & Trend Plotting

• ATR Length: The period used for Supertrend volatility calculation.
• Factor: The multiplier for the Supertrend calculation.
• Show Trend: Toggles the visibility of the volume/trend status squares.

FAQ

How do I interpret the colored squares?

The squares indicate volume intensity relative to the long-term moving average and the current Supertrend direction. Darker colors typically represent high-volume participation, while lighter colors represent lower volume.

What do the triangles signify?

Triangles mark significant volume "pushes" where the Cumulative Volume Delta crosses its 3rd moving average while aligning with the price trend established by the Supertrend.

How can I access Enhanced Cumulative Volume Delta + MA?

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