PipTick Cumulative Delta

PipTick Cumulative Delta indicator shows the cumulative sum of the single delta volume values. It provides a perfect overview of the current order flow context and helps traders decide in which direction to trade. They can also choose whether the indicator will be displayed as a candlestick or line chart. The calculation of delta volume is based on our PipTick Volume Delta indicator.

As we all know, the forex market is decentralized and therefore we do not have reliable information about the real volume. We also do not know the actual and historical values of the Bid volume (Sellers’ volume) and Ask volume (Buyers’ volume). But we can use tick count volume of Bid and Ask prices to determine the activity of buyers and sellers! So, with our special algorithm, we can get a very similar volume as in the futures market. We can analyze the flow of buy and sell orders with this functionality. 

How to Use Our PipTick Cumulative Delta Indicator?

First, we must note that it is counterproductive to use our indicator on the higher time frames. The number of buyers and sellers is balanced on the higher time-frames, so the indicator has no informative value. That’s why we recommend using it on the charts from M1 to M5.
 
The order flow context of the market should be analyzed for the last ten to thirty minutes. It is always necessary to assess the activity of both sides, buyers and sellers.
 
There are several scenarios of the order flow context.
 
 Cumulative delta growsCumulative delta stagnatesCumulative delta falls
The market is in an uptrendBuyers have the power to push the price up. Look for a buy trade.The battle between buyers and sellers is balanced. Look for a buy trade.Sellers try to push the price down, but fail to do it. Look for a buy trade.
The market goes sidewaysBuyers try to push the price up, but fail to do it. Look for sell trade.No tradeSellers try to push the price down, but fail to do it. Look for a buy trade.
The market is in a downtrendBuyers try to push the price up, but fail to do it. Look for a sell trade.The battle between buyers and sellers is balanced.Look for a sell trade.Sellers have the power to push the price down. Look for a sell trade.

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Main Features

Input Parameters

Output Parameters

Screenshots

Purchase

All our products are available in the MQL5 market.

MT5 version

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