Delta ZigZag
By LuxAlgoMar 19, 2024
Delta ZigZag is an indicator on Vela, our next-generation charting platform, written in Pine Script®.
Delta ZigZag measures the volume behind every swing, splitting each ZigZag leg into bullish and bearish volume drawn from a lower timeframe or from real-time tick data. Legs are colored green and red in proportion to buy and sell participation, with the bullish percentage printed where the two colors meet, a direct read on whether volume delta supports the move or quietly contradicts it. Note that the tool backpaints: lines are aligned once swings confirm, and tick volume only accumulates from the moment the script loads.
How to Trade the Delta ZigZag?
- Leg dominated by green: buying carried the swing. Trend legs backed by matching volume are the healthier ones.
- Buy share fading while price rises: advances on shrinking bullish volume warn of a weakening trend and possible reversal; the mirror applies to declines.
- Per-leg readouts: each line is labeled with one metric chosen in the settings, Average Volume Delta/bar, Average Volume/bar, or Normalised Volume Delta (the default), for quick comparison between swings.
- Show Details: switches on per-bar labels showing delta volume by default, with separate toggles to add split bullish/bearish volume and total volume.
In LTF mode, bullish volume comes from lower-timeframe candles closing above their open, bearish from candles closing below, and neutral candles are excluded; in Ticks mode, each update's volume counts as bullish or bearish by whether price ticked up or down. On one-bar legs the percentage label sits approximately between bars.
Delta ZigZag Settings
- Data from: picks the volume source: LTF pulls lower-timeframe volume, Ticks accumulates live trades.
- Res: the lower timeframe used in LTF mode, automatically capped at the chart's own timeframe.
- Left / Right: bars evaluated on each side of a swing point. Higher Left values broaden the ZigZag by requiring each swing point to stand out against more prior bars; Right sets how many later bars confirm a swing, and at zero (the default) the ZigZag draws fastest at the cost of more direction swaps.
- Swing detection: can run on high/low or on close values.
Frequently Asked Questions
Free to use
Run it on Vela. Go further with a paid plan.
- Up to 500 strategy alerts, with webhook automation
- Up to 10× the chart history of Free
- Orderflow lookback up to full history
- More Quant usage to customize it, plus extra usage when you need it
- Futures data alongside crypto, stocks, forex and commodities
Also works on
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