CUMULATIVE DELTA WAVES Trading Guide

The Cumulative Delta Waves is a quantitative technical analysis tool. Cumulative Delta Waves (CVD Oscillator) Analyzes Volume Spread to separate buying vs selling pressure, accumulates it into a Cumulative Volume Delta (CVD), and detrends

What does the indicator show?

• Market Structure & Momentum: Visualizes prevailing trend directions and key reversal zones.
• BUY / SELL Signals: Highlights confirmed entry and exit opportunities based on quantitative rules.
• Dynamic Boundaries: Provides adaptive levels for managing trade risk and reward expectations.

Key Settings

• Baseline EMA Length (baselineLen): Controls the calculation period and sensitivity for market detection.
• Pivot Left (pivotLeft): Controls the calculation period and sensitivity for market detection.
• Pivot Right (pivotRight): Controls the calculation period and sensitivity for market detection.
• Normalization Period (normPeriod): Controls the calculation period and sensitivity for market detection.
• Wave Bull (waveBull): Controls the calculation period and sensitivity for market detection.
• Wave Bull Weak (waveBullWeak): Controls the calculation period and sensitivity for market detection.
• Wave Bear (waveBear): Controls the calculation period and sensitivity for market detection.
• Wave Bear Weak (waveBearWeak): Controls the calculation period and sensitivity for market detection.
• Zero Line (baseline): Controls the calculation period and sensitivity for market detection.
• Bullish Div color (divBull): Controls the calculation period and sensitivity for market detection.
• Bearish Div color (divBear): Controls the calculation period and sensitivity for market detection.
• CVD Wave (wave): Controls the calculation period and sensitivity for market detection.
• Zero Line (baseline): Controls the calculation period and sensitivity for market detection.
• Bullish Divergence (divBull): Controls the calculation period and sensitivity for market detection.
• Bearish Divergence (divBear): Controls the calculation period and sensitivity for market detection.
• CVD Wave (wave): Controls the calculation period and sensitivity for market detection.
• Crosses Zero Up (Bullish) (crossUp): Controls the calculation period and sensitivity for market detection.
• Crosses Zero Down (Bearish) (crossDown): Controls the calculation period and sensitivity for market detection.
• Bullish Divergence (divBull): Controls the calculation period and sensitivity for market detection.
• Bearish Divergence (divBear): Controls the calculation period and sensitivity for market detection.

How to use Strategy Parameters (Condition Source)

Within the Strategy Tester module, this indicator can be used both as a direct signal source and as a market-state filter.

1. Signal Events

• divBull - Bullish Divergence event signal.
• divBear - Bearish Divergence event signal.
• crossUp - Crosses Zero Up (Bullish) event signal.
• crossDown - Crosses Zero Down (Bearish) event signal.
• divBull - Bullish Divergence event signal.
• divBear - Bearish Divergence event signal.

2. Filters and Trade Levels

• baselineLen - Baseline EMA Length value used for structural qualification or thresholds.
• pivotLeft - Pivot Left value used for structural qualification or thresholds.
• pivotRight - Pivot Right value used for structural qualification or thresholds.
• normPeriod - Normalization Period value used for structural qualification or thresholds.
• wave - CVD Wave value used for structural qualification or thresholds.
• baseline - Zero Line value used for structural qualification or thresholds.
• wave - CVD Wave value used for structural qualification or thresholds.

Strategy Example: Enter Long when buySignal is true and trendFilter == 1, ensuring trades align with dominant momentum.