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Post author:Christian Knox
Post published:September 12, 2018
Post category:Education and Training
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The Delta Strength Indicator

The Delta Strength indicator is a unique and exclusive indicator that measures the strength of the delta of the bar. It is not the delta of the bar. It also features a very easy to understand volume measurement. The indicator takes an average of the last X number of bars to let you know visually if there is low, normal, high, or extreme volume. The indicator also tells you how much the bar delta is changing bar to bar. That is a lot of information in one simple indicator

Low Volume

Here we see a down bar with significant sell order flow signals. Now look at the order flow numbers in the next bar. There was no selling and that's why the low volume label is there to identify that. The next bar was immediately followed up by selling. Basically the sellers allowed price to rise to get better prices to enter short trades. We also had the new order flow signal, Exhaustion, on the second bar. The ZoneTraderPro Order Flow suite identified that buyers were exhausted when price traded on the third bar.

Here is a great combination of signals today that started a 7 point selloff. Extremely high volume (black -371 bubble), the new Exhaustion sell signal, combined with the ZTP Order Flow.

Also from today we had a combination of an Exhaustion Buy signal and a Delta Buy. These are a powerful combination of signals because the Delta Buy is telling us that over the last 3 bars there have been an increase of buyers on each bar. That was then combined with seller exhaustion, and the sellers were definately taken out.