Delta
Volume Profile Analysis glossary · Profile Anatomy & Volume Nodes
Definition
The net difference between volume transacted at the ask (buying) and volume transacted at the bid (selling) over a period. Positive delta indicates net buying aggression; negative, net selling.
Delta in plain English
Delta measures the tug-of-war between eager buyers and eager sellers. Every trade happens between two prices — a slightly lower 'bid' (what buyers offer) and a slightly higher 'ask' (what sellers want); when someone is impatient and buys at the higher ask, that's counted as aggressive buying, and selling at the lower bid is aggressive selling. Delta is simply the aggressive buying minus the aggressive selling over some stretch of time. A positive number means buyers were pushing harder; a negative number means sellers were — like counting whether more people were shoving a rope left or right.
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