iTunes shortcut to delete files from disk I remember iTunes has a shortcut "Cmd + Opt + delete" to delele files from disk, it works in any playlist in iTunes. But now it's no longer available.

Thank you for your help.
In fact, after iCloud Music Upgrade, Opt + Delete gives 2 options now, 


Delete locally
Delete from iCloud Music Library




You can remove local copy from Edit Menu though



You can add a Keyboard Shortcut for this form Keyboard Shortcuts System Preferences

Make sure the iTunes Media Folder is set up correctly for you.