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Cumulative Delta Volume (CDV)

It is a technical indicator used to measure the volume of buying versus selling over time.

It is commonly used to understand the upward or downward pressure on a security or market.

A rising CVD indicates that buying volume (or upward pressure) is prevailing. A decreasing CVD indicates that selling volume (or downward pressure) is dominating.

Candles above, the volume of each candle counted as buying when it closes up and selling when it closes down, and the Cumulative Delta Volume rising and then falling below.
Cumulative Delta Volume adds buying volume and subtracts selling volume over time.

How CVD is calculated: for each time interval, determine whether the price is positive (i.e., up from the previous interval) or negative (down from the previous interval). If the price is increasing the interval volume is added to the cumulative CVD value. If the price is decreasing the interval volume is subtracted from the cumulative value of CVD.

The initial value of CVD is 0 and increases or decreases according to the difference between the volumes associated with positive and negative price movements.

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