Great Series of Trades using New Delta Chart

22 hrs ago 20

Series of trades from 8/6/25 at 0935 Trade Setup The morning of 8/6/25, right after the open, the new chart template had a set of 3 trades setup with 3 entries and exits.  I have added the ZTP Zig Zag to the chart and there is something different.  The zigzag in on this chart is […] The post Great Series of Trades using New Delta Chart appeared first on ZoneTraderPro.

Series of Trades
Series of trades from 8/6/25 at 0935

Trade Setup

The morning of 8/6/25, right after the open, the new chart template had a set of 3 trades setup with 3 entries and exits.  I have added the ZTP Zig Zag to the chart and there is something different.  The zigzag in on this chart is at 5 points on this chart.  The divergence indicator is also on the chart, set for a 5 point zigzag.

The zigzag on the $TICK chart remains at 3.5 points.

  1. The first trade occurs with the $TICK solidly in the red, indicating a short trade.  There is a down bar and 2 possible entries based on the cumulative delta.  That was an 8.25 point drop AFTER the 1st entry signal bar closed.
  2. The second trade occurs with the $TICK with a white background, and $TICK falling.  There was divergence at the entry.  That trade was good for 6 points after the entry bar closed.
  3. The third trade also had divergence at the entry and the $TICK was solidly in the red and falling.  In this trade, with the falling $TICK, you had to enter before the bar closed or you missed the trade.

 

Trade Plan

These trades illustrate why you need to plan your entries.  If you based your entries on the $TICK and the divergence signal, you potentially made more money.  In the 1st and 3rd trades, the $TICK was falling and had red BloodHound background, using the TickConfirm template.

Notice the candle of the cumulative delta in the 3rd trade.  It opened, traded higher, and began to fall, closing negative.  This was a standard ZTP trend trade pattern, trading at the entry price at resistance, with divergence.  So the question becomes, do you enter with this criteria and manage the trade using $TICK, or do you wait for confirmation of the cumulative delta?

There is an argument to be made for both.  But this is why you can go back and backtest this trade.

The other question in the trading plan is harder, the exit. I have already seen very big winners when using the cumulative delta as your exit signal.  But to do this, you may give up some points in an illiquid market.  If you took profit at a 4-5 point target, then you likely took full profit on each trade.

In each trade, the combination of losing the red TickConfirm BloodHound background, and a green cumulative delta candle, signalled the exit.

Nothing here should be construed as trading advice.  It is solely to present the decisions you should have made in advance, to achieve successful solutions to the strategy.

Other Consideration

There is one characteristic that I have noticed.  When there is no news and it is mid-day, the trades generally move slow and can easily reverse.  One thing that can be examined in a back test, is whether or not there is an advantage in the first 2 hours of the day and the last hour.

Below is a chart from 1000 to 1130 EST, highlighting additional trades in trending markets.

Then going into lunch, there is an excellent 15 point move.  It starts with a long accumulation divergence signal and another divergence.  This is the divergence in the price, which was a down candle and the cumulative delta which was positive.  During this move the $TICK didn’t go red until the highs.

Then everyone goes to lunch. We begin to see alternating red and green BloodHound $TICK.

Settings for Each Chart

BloodHound Webinar August 21 at 3PM EST

The post Great Series of Trades using New Delta Chart appeared first on ZoneTraderPro.


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