How to Spot Market Turns using Order Flow & Delta Volume Ind.Overview
The Order Flow / Delta Volume Indicator combines order flow dynamics with delta volume analysis , pinpointing market shifts by tracking buying and selling pressure . This chart analysis demonstrates how effectively the indicator identifies precise moments of market turns and shifts in momentum.
How It Works
Order Flow Dynamics
Tracks cumulative buying and selling volumes.
Identifies potential reversals by highlighting shifts in order flow direction.
Delta Volume Analysis
Measures the difference between buying and selling volume (delta).
Pinpoints exact candles where buyer-seller imbalance occurs.
Signal Generation Logic
Buy signals emerge when order flow and delta volume confirm rising buying pressure.
Sell signals appear when order flow combined with negative delta signals increased selling activity.
Signal Confirmation (Magical part of this Indicator), Blue line inlines with trend to confirm the strength, else it's a trap move.
Performance in This Case Study
Market Reversal Precision
Accurately highlighted buy signals at key reversal points where bullish order flow resumed.
Provided timely sell signals precisely at points of bearish order flow dominance.
Trend Confirmation
Signals effectively filtered market noise, clearly distinguishing actual trend shifts from temporary price fluctuations.
Consistent alignment of signals with subsequent price action confirmed robust indicator performance.
Volume-Based Clarity (Blue Line)
Delta volume effectively differentiated real momentum changes from false breakouts.
Order flow dynamics reliably indicated market sentiment shifts, offering clarity in volatile conditions.
Key Takeaways
✅ Order flow shifts clearly indicated genuine trend reversals.
✅ Delta volume accurately pinpointed moments of market imbalance.
✅ Signals reliably differentiated between temporary fluctuations and meaningful market movements.
✅ Indicator performance remained robust across varying market conditions.
This indicator's precise alignment with market behavior underscores its practical utility in identifying and analyzing market turns.
Tradetechanalysis
How to Capture Market Turns with Market Anomaly Detector (MAD)Overview
The Market Anomaly Detector (MAD) Indicator effectively captures market reversals , trend shifts , and volatility cycles through its distinctive visual components—the Mainline ( blue ), Upper Band ( green ), and Lower Band ( red ). This idea explores the practical performance of the MAD indicator, emphasizing its clear signals during recent market movements.
How It Works
Mainline (Blue Line)
Static reference line used to visually represent general market sentiment.
Not directly used for generating trading signals, but provides contextual information.
Upper Band (Green Line)
Serves as a critical threshold for bullish signals.
When price closes above this green band, a buy signal is generated, and the background turns green, indicating bullish sentiment.
Conversely, if price closes below the green band after initially trading above it, a sell signal is triggered, highlighting a potential reversal.
Lower Band (Red Line)
Serves as an essential threshold for bearish signals.
When price closes below the red band, a sell signal is generated, accompanied by a red background, signaling bearish momentum.
Alternatively, if price closes above the red band after initially trading below it, a buy signal is produced, pointing to a possible bullish reversal.
Performance in This Case Study
Signal Accuracy & Market Reactions
Buy signals consistently appeared after price closed above the upper (green) band, accurately predicting bullish expansions.
Sell signals were reliably produced when the price closed below the lower (red) band, accurately forecasting bearish trends.
Reversal signals, generated when the price crossed back below the upper band or above the lower band, successfully indicated shifts in market sentiment.
Volatility Dynamics
Contraction of bands during sideways market phases clearly indicated reduced volatility and market indecision.
Expansion of the bands provided timely alerts of upcoming sharp market movements.
Effective Reversal Indications
The MAD indicator clearly marked points of market exhaustion at upper and lower band extremes, providing timely entry and exit signals.
The signals effectively filtered out false breakouts by ensuring clear price action beyond band thresholds.
Key Takeaways
✅ Upper Band (Green Line): Closing above signals bullish entries; closing back below indicates bearish reversals.
✅ Lower Band (Red Line): Closing below indicates bearish entries; closing back above highlights bullish reversals.
✅ Mainline (Blue Line): Provides visual market sentiment context but is not used directly for signal generation.
✅ Band Behavior: Contraction signals low volatility periods; expansion indicates imminent significant moves.
✅ MAD Indicator demonstrated accurate and reliable market reversal and momentum shift detection in the case study provided.
How To Identify Market Reversals Using the MAD IndicatorOverview
The Market Anomaly Detector (MAD) Indicator is designed to capture market reversals, trend shifts, and volatility cycles using a combination of its Mainline (blue), Upper Band (green), and Lower Band (red) . This idea explores how the indicator performed in real market conditions, highlighting how price interactions with these bands provided trading signals.
How It Works
• Mainline (Blue Line - Dynamic Market Structure Guide)
• This acts as a key trend reference. When price trades above the Mainline , the structure is bullish ; when below, it’s bearish .
• Acts as floating resistance in downtrends and support in uptrends.
• Upper Band (Green Line - Dynamic Resistance Zone )
• Expands and contracts based on volatility.
• Acts as a dynamic resistance—when price struggles at this level, it often signals an overextended move.
• Breakout Above Green Band → Possible bullish expansion, highlighted by Green Background.
• Rejection at Green Band → Signals potential price exhaustion and reversal.
• Lower Band (Red Line - Dynamic Support Zone)
• Functions as a strong support—if price holds, a reversal is likely.
• Break Below Red Band → Sell confirmation, as bearish momentum increases highlighted by Red Background.
Performance in This Case Study (Based on this chart)
1. Reversal Accuracy & Trend Reactions
• Multiple green buy signals were generated as the price bounced from the red lower band, confirming it as a strong support zone.
• When price broke below the red band, sell signals followed, aligning with the continuation of a bearish move.
• Sell signals near the green upper band played out well, confirming resistance rejection.
2. Trend Shrinking & Expansion Dynamics
• The bands contracted during sideways market phases, signaling low volatility and a lack of momentum.
• Expansion occurred before sharp price moves, giving early volatility warnings.
3. Resistance & Support Behavior
• The Blue Mainline rejected price during a downtrend, acting as dynamic resistance.
• Price failed to hold above the Green Upper Band, confirming trend weakness.
4. Strong Market Moves & Confirmation
• The break below the red band led to a clear downward trend, reinforcing the sell signal’s validity.
• The indicator effectively filtered false breakouts by ensuring a clean move beyond its bands before confirming signals.
Key Takeaways
✅ Lower Band (Red Line) = Strong Support → If price holds, reversals occur; if broken, sell-offs follow.
✅ Upper Band (Green Line) = Strong Resistance → Price rejection confirms weakness; breakout signals potential expansion.
✅ Mainline (Blue Line) = Dynamic Trend Guide → Price below = bearish, price above = bullish.
✅ Band Contraction = Low Volatility, Band Expansion = Impending Breakout.
✅ MAD Indicator accurately detected reversals and trend shifts in this case study.
Capturing Market Moves with the Special Candle SetupOverview
The Special Candle Setup Indicator has once again proven its effectiveness in detecting high-probability candlestick formations. In this chart, a bearish pattern was identified at the top, providing an early indication of a potential downside move. This setup allowed traders to position themselves accordingly, capturing the downward trend efficiently.
How It Worked Here
🔹 Precise Bearish Signal – The indicator detected a bearish pattern at a key resistance level, signaling a potential reversal.
🔹 Well-Defined Key Levels – The automatically plotted blue support line and green resistance line provided crucial reference points for trade management.
🔹 Trend Continuation Confirmation – The setup was followed by further bearish price action, validating the accuracy of the signal.
Key Takeaways
✅ Early Signal Accuracy – The indicator highlighted the reversal before the major drop, reinforcing its reliability.
✅ Multi-Market Application – These candlestick formations are not limited to expiry days; they are observed across crypto, forex, stocks, and indices.
✅ Customizable for Different Strategies – Users can enable or disable specific pattern types (bullish/bearish or reversal setups) based on their trading style.
Why This Matters?
Price action remains one of the most powerful trading tools, and this indicator helps traders automate pattern detection while integrating dynamic support and resistance levels for added confluence.
BPR with Directional Momentum-Filtered Breakouts – PerformanceThe BPR with Directional Momentum-Filtered Breakouts indicator identifies breakout opportunities by filtering momentum shifts and trend strength. The script integrates Balance Price Range (BPR) with an EMA-based trend filter and a cooldown mechanism to refine signal accuracy.
Performance Analysis
📉 Bearish Signals Effectiveness
• The indicator effectively captured multiple shorting opportunities during the downtrend.
• Sell signals aligned with price staying below the EMA, confirming trend direction.
• Momentum-based filtering reduced false signals in sideways conditions.
📈 Bullish Signals Efficiency
• Buy signals appeared in early trend reversal phases, indicating potential bullish setups.
• Some bullish breakouts led to trend continuation, while others encountered resistance.
• A trendline breakout confirmation helped validate certain long entries.
📊 Trade Cooldown & Noise Reduction
• Cooldown mechanism prevented excessive signals in choppy price action.
• Volume-based breakouts helped distinguish strong breakouts from false moves.
Key Observations
✅ Works best in trending markets – Strong trend direction improves signal reliability.
✅ Momentum filtering enhances breakout accuracy – Reduces unnecessary entries.
⚠️ Certain bullish breakouts lacked strength – Additional confirmation may help.
Conclusion
The BPR with Directional Momentum-Filtered Breakouts indicator provides a structured approach to breakout trading by leveraging momentum shifts, EMA-based trend validation, and a cooldown filter to avoid false signals. The script performs effectively in clear trending conditions while reducing noise in ranging markets.
Candle Momentum Exhaustion🚀 Candle Momentum Exhaustion Indicator – Spotting Market Reversals Like a Pro!
🔥 Live in Action! Our Candle Momentum Exhaustion Indicator is pr oving its strength in identifying key exhaustion points in the market. Using a black candle fill to highlight exhaustion areas, the indicator successfully detects when momentum weakens, signaling potential reversals with high accuracy.
📊 Key Features & Observations:
✅ Precision Exhaustion Signals – Captures exhaustion points before reversals, helping traders make informed entries & exits.
✅ Works Across Market Conditions – Whether in a strong trend or sideways movement, it adapts dynamically.
✅ Volume Confirmation – Signals align well with increasing/decreasing volume, adding credibility.
✅ Enhanced Visuals – The black-filled exhaustion candles make it easier to spot momentum weakness at a glance!
🔍 How It’s Performing in Nifty 50:
📌 Recent market structure shows consistent accuracy, with exhaustion points appearing at peaks & dips before trend shifts.
📌 Strong signal clusters near resistance zones indicate potential profit booking areas for traders.
📌 Support areas see exhaustion candles aligning with buying interest, helping catch potential reversals early.
🚀 Conclusion:
This indicator is proving to be an essential tool for traders looking to catch momentum exhaustion before price reverses. With strong visual cues and volume correlation, it’s a game-changer for intraday and swing trading!
💬 How are you using the Candle Momentum Exhaustion Indicator? Drop your feedback below! 👇
BANKNIFTY Potential price actionI mentioned the significance of the green lines visible on the chart, which represent key levels. Specifically, I highlighted yesterday’s low and explained that if the price breaks below this level, it could undercut the previous support at 48,074.
As we can see, both levels were breached with a gap down. However, the price has been recovering since then and continues to do so. Currently, the level around 48,300 appears to act as a resistance. If the price manages to break above this level, it could signal bullish momentum, with potential targets at 48,800 and 49,000.
On the downside, the price will only turn bearish if it breaks below 47,841, which is a critical support level for now. Let’s monitor how the price behaves during the rest of today’s session or tomorrow to get a clearer picture of the market’s direction.