Volume Delta Scanner [ZynAlgo]Real-Time Alert System
Provides alerts when divergence conditions are detected.
Input Settings
1. Volume Flow Normalization
Normalization Lookback Range
Defines the historical range used to normalize volume data.
Lower values:
Increase sensitivity
React faster to short-term changes
Higher values:
Provide more stability
Are better suited for larger market structures
Compute Flow Divergence Matrix
Enables or disables the divergence detection engine.
Volume Delta Lower Timeframe
Defines the lower timeframe used for internal delta calculations.
Examples:
15 minute chart: 1 minute delta
5 minute chart: 15 second or 1 minute delta
Cumulative Volume Delta Period
Controls the accumulation range used for cumulative delta analysis.
2. Divergence Pivot Architecture
Pivot Scanner Lookback Left
Defines the strength requirement for the left side of a pivot structure.
Higher values:
Produce fewer signals
Create stronger structural pivots
Pivot Scanner Lookback Right
Defines the confirmation bars required on the right side of the pivot.
Lower values:
Generate faster signals
Provide earlier but more sensitive confirmation
Higher values:
Provide stronger confirmation
Create slower but more selective divergence detection
Maximum Structural Bar Spacing
Defines the maximum distance allowed between pivot structures.
Minimum Structural Bar Spacing
Defines the minimum distance allowed between pivot structures.
Signal Interpretation
Bullish Divergence
Bullish divergence occurs when price forms a lower low while participation behind the move begins to weaken.
This often reflects:
Decreasing selling pressure
Trend exhaustion
Possible absorption activity within the market
The indicator displays an upward divergence marker on the chart, along with volume and delta data at the divergence zone.
Bullish divergence example:
Bearish Divergence
Bearish divergence occurs when price forms a higher high while participation behind the move begins to weaken.
This often reflects:
Buyer weakness
Weakening momentum
Possible distribution behavior
The indicator displays a downward divergence marker on the chart, along with volume and delta data at the divergence zone.
Bearish divergence example:
Volume and Delta Metrics
Each divergence signal includes:
Total volume
Delta value
Participation direction
This helps traders:
Evaluate divergence quality
Analyze internal pressure
Observe the strength of market participation
Metrics example:
Recommended Usage
The indicator may be useful during:
Trend exhaustion
Liquidity sweeps
Failed breakouts
Market reversals
Distribution or accumulation phases
Weak continuation structures
Recommended Confluence
To improve analysis quality, the system can be combined with:
Market structure
Liquidity zones
Support and resistance
Session timing
Delta confirmation
Absorption analysis
Trend context
How to Use
Add the indicator to the chart.
Select a normalization lookback suited to the market and timeframe.
Choose a lower timeframe for delta calculations.
Adjust pivot lookback settings based on how selective the divergence detection should be.
Watch for bullish or bearish divergence markers at structural pivots.
Review the displayed volume and delta metrics at the divergence zone.
Confirm divergence with broader market structure, liquidity, trend context, and risk planning.
Limitations
Divergence is an analysis condition, not a guaranteed reversal signal.
Signals depend on structural pivot confirmation and may appear later when stronger confirmation settings are used.
Lower timeframe delta calculations depend on the data available for the symbol and timeframe.
Volume and delta behavior can weaken before price reverses, consolidates, or continues.
The indicator does not provide automatic trade entries, exits, or position management.
Past divergence behavior does not guarantee future results.
Important Note
This indicator is an analysis tool only. It does not provide financial advice, investment advice, or guaranteed trading results. Users are responsible for their own trading decisions and risk management.
Indicador Pine Script®


