Applications, which can profit from holographic 3D displays, are the visualization of 3D data, computer-integrated manufacturing, 3D teleconferencing and mobile infotainment. However, one problem of holographic 3D displays, which are e.g. based on space bandwidth limited reconstruction of wave segments, is to realize a small form factor. Another problem is to provide a reasonable large volume for the user placement, which means to provide an acceptable freedom of movement. Both problems should be solved without decreasing the image quality of virtual and real object points, which are generated within the 3D display volume. A diffractive optical design using thick hologram gratings, which can be referred to as Bragg diffraction based volume gratings, can provide a small form factor and high definition natural viewing experience of 3D objects. A large collimated wave can be provided by an anamorphic backlight unit. The complex valued spatial light modulator add local curvatures to the wave field he is illuminated with. The modulated wave field is focused onto to the user plane by using a volume grating based field lens. Active type liquid crystal gratings provide 1D fine tracking of approximately ± 8° deg. Diffractive multiplex has to be implemented for each color and for a set of focus functions providing coarse tracking. Boundary conditions of the diffractive multiplexing are explained. This is done in regards to the display layout and by using the coupled wave theory (CWT). Aspects of diffractive cross talk and its suppression will be discussed including longitudinal apodized volume gratings.