What a Delta Divergence Actually Tells Me
Price makes a new high, but cumulative delta fails to make a new high. Is that a short signal?
Not by itself.
It tells me that the relationship between price progress and net aggressive buying has changed. That deserves attention, but it doesn't guarantee a reversal.
I look for additional evidence: a failed attempt to hold the high, selling pressure that produces downside movement, or a clear change in structure.
Divergence raises a question. Price action and context help me evaluate the answer.