Nice work on your tick volume indicator. Can you
make a change to this, and show the 'cumulative tick
volume divergences' ?
As you probably know:
When it is set in the cumulative mood, when the
net total of the tick is different from the candle
sentiment it is a tick volume divergence (TVD).
Your NGAS 1HR chart from that posting had two
strong 'tick volume divergences' (TVD) at the low in
your chart. This was added confirmation of a reversal.
http://i.imgur.com/HWHJzOh.pngNice analysis by the way, and great call on NGAS
I've annotated these two strong signals in the linked
chart above. Can you improve the indicator and make it;
A) show BOTH cumulative tick volume divergences
B) only strong strongest TVD.
Just like with delta divergences, there are two strengths of
these cumulative TVD.
At a day high, or near the top of range, the strongest
is the bullish bar with negative tick cumulative; the
weaker of the two signal is the other way around;
a bearish bar near highs plus a positive cumulative tick.
(the opposite at lows of course)
I've heard somewhere that the cumulative tick volume
is 90% correlated with the delta divergence, as per
Market Delta; so your indicator will be a good reversal
indicator when combined with other signals.
I've emailed FXCM and asked them to improve the data stream
to include this fed as you've requested, and until they
improve this stream, I fully appreciate that you
might not see the benefit in also making this a strategy
file to signal. If you did make the strategy signal, you'll
need a Boolean to 'only show strongest TVD', otherwise
it could just signal both the TVD strengths.
I've been comparing your signals to the market delta charts
and their delta divergences, they seem to line up pretty good.
Here's some NT7 code for the delta divergence, and a MD
video about delta divergence so its perfectly clear.
Delta Divergence indicator
http://youtu.be/m2K5w7ha-RI (6min)
- Code: Select all
CODE for NT7
// Condition set 1: Delta Divergence Down
if (Close[0] < Open[0]
&& GomDeltaVol_UpDown().UpVolume[0] > 0)
{
DrawTriangleDown("My triangle down" + CurrentBar, true, 0, High[0] + 2 * TickSize, Color.Black);
}
// Condition set 2: Delta Divergence Up
if (Close[0] > Open[0]
&& GomDeltaVol_UpDown().DownVolume[0] > 0)
{
DrawTriangleUp("My triangle up" + CurrentBar, true, 0, Low[0] + -2 * TickSize, Color.Gold);
}
Thanks so much !!
David