🔮Onsens Discovery
Onsens Discovery - Trade Examples
This is the manual for the Volume Delta
Examples
Long Entry Example using Volume Delta:
1. Previous week's low: Most liquidity accumulates above or below the daily, weekly, etc., highs or lows. Rejecting those levels means, in most cases, banks grabbed those liquidities.
2. Daily ADR: An easy way to interpret this is to find daily premium or discount prices. Each asset has an average range of movement from daily to yearly. If the price trades higher or lower than the ADR, it means institutions will seek discounts.
3. Exhausted candle: Panic sells or buys in the market by mainly small participants. This often indicates reversal because institutions will protect their money.
4. Previous high breaker (engulfing): If our bias is bullish, we will buy when the previous high is violated. In this case, it engulfs the exhausted candle (4). Notice that the price is rejected twice from the round number 0.77000.
5. Discovery Volume strength: Price moves with volumes. If market participants move without adequate volume, then price will give corrections. In this example, the price trades lower with exhausted volume, below the previous week's low, but the negative volume of the Volume Dekta was diverging towards positive momentum.
Volume Stability
We can apply Discovery Volume Stability to stay or follow a trend, the newly added feature, which is similar to the trend-following strategy. We can apply the same concept of the WaveTrend Momentum Indicator strategy. I am using adaptive trend strength using setting 3. Sometimes, setting 2.4 also works well.
Same concept on Gold H1 chart
AUDUSD H4 - Trade Example
Volume Delta of positive and negative volume stability
BTC 15min Scalping:
Price traded below or near the daily ADR
Previous lows or highs were taken out (double top or bottom)
Volume Delta divergence
DE40 15min SHORT:
The price was above the weekly and daily ADR
A resistance area from the H1 chart
Multiple attempts to break the level but failed, and previous highs were taken out
Volume Delta Bearish Divergence
Institutional Strength & Flow Bearish Divergence
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