📊 TECHNICAL
Volume Delta
An estimated split of each bar's volume into buy-side vs sell-side pressure based on where the close falls in the bar's range — an approximation, not exchange tick data.
410KUses
38500Likes
0Comments
Live Demo — Volume Delta applied to NIFTY 50 (illustrative)
PriceEMA(9)EMA(21)SMA(20)
What is Volume Delta?
Estimates how much of a bar's total volume was likely aggressive buying versus selling. True buy/sell delta requires tick-by-tick order-flow data. NixPulse's Volume Delta is an estimate approximating the split using a money-flow-multiplier-style calculation based on where the close sits within the bar's range — a directional-pressure proxy, not a literal order count.
Formula
Multiplier = ((Close-Low)-(High-Close)) / (High-Low)
Est. Buy = Volume*(1+Multiplier)/2
Est. Sell = Volume*(1-Multiplier)/2
Volume Delta = Volume * MultiplierParameters
| Parameter | Default | Description |
|---|---|---|
| Source | OHLCV bar | No order-flow feed used — split derived from the bar's own H/L/C |
| Up/Down coloring | On | Positive delta bars in one color, negative in another |
Signal Interpretation
- Positive delta suggests buyers were in control during that bar.
- Negative delta suggests sellers were in control.
- Delta disagreeing with price direction can flag a weakening move.
- A string of same-sign delta bars reinforces trend conviction.
- Because it's an estimate, focus on the trend of delta over several bars, not single readings.
Tips & Best Practices
- Not real order-flow/footprint data — a true Level 2/tick feed is needed for exact buy/sell counts.
- Use as secondary confirmation alongside price and Volume.
- Feeds directly into Cumulative Volume Delta — view them together.