Therefore, if the "Calculation Bars Threshold" and the "CVD MA Smoothing" are set to 1, the script will display the difference of the actual compared to the previous candle;
furthermore, if the "Calculation Bars Threshold" is set to 3 and the "CVD MA Smoothing" is set to 14, then the indicator will display the the summed difference of the past 3 values, smoothed over a period of 14 candles.
This indicator may also be set to a different time frame, allowing ; f.e. if you're going to set a lower time frame than the actual, the deltas of the lower time frame will be displayed and will be showing the trend of the lower time frame; if you're going to set a higher time frame, this is respectively working as described.
To understand and price action, it is - imho - especially helpful to display the of higher time frames to visualize the "Where the heck am I and what are the big players doing?"
This indicator is coloring the histogram in green as positive, red as negative and gray as indecisive CVD .
Hopefully, this will be helpful in your VSA and your trading decisions.
p.s.: I am also working on a far more sophisticated version of SVD/ CVD , so stay tuned!
I have found my way here from your how to read volume tutorial. Really wonderful much appreciated by a newbie like me. I am struggling however to make sense of this C.O.N.G-MA-CVD. In the sense of how do you actually use it to trade? Are the valleys indicators of entry and exit? Or is it when it breaks the zero line? Or is it more of a trend indicator to back up other information used for trades? Please forgive my ignorance I am relatively new to this. I look forward to the book i am sure it will be very useful to me.