Liquiditytrader — Indicators and Strategies

Liquidity Sweeps [SB1]Liquidity Sweeps This indicator detects liquidity sweep events where price briefly breaks above or below recent swing points before reversing. These sweeps often occur during stop hunts, fakeouts, or liquidity grabs, and are commonly used by smart money traders to trap breakout participants before reversing direction. 🔍 What It Does Identifies key swing highs and lows based on user-defined pivot strength. Detects: Bearish Sweeps: Price breaks a recent high but fails to close above it. Bullish Sweeps: Price breaks a recent low but fails to close below it. Tracks whether these sweeps are simply wicks, full breakouts and retests, or a combination of both. Highlights these zones with boxes and labels to signal high-probability reversal or reaction zones. 🧠 Why Use It Liquidity sweeps are often used by institutions and large players to trigger stops and create movement. Detecting these events helps traders: Avoid chasing false breakouts Time entries around exhaustion or reversal points Align trades with Smart Money Concepts (SMC), ICT principles, or Order Block Theory Avoid chasing false breakouts Time entries around exhaustion or reversal points Align trades with Smart Money Concepts (SMC), ICT principles, or Order Block Theory ⚙️ Settings & Customization Swings: Adjusts the sensitivity of swing high/low detection. Detection Type: Only Wicks: Detects when a wick pierces a level but closes back inside. Only Outbreaks & Retests: Detects when a candle breaks out and later retests. Wicks + Outbreaks & Retests: Shows both types for full coverage. Extend Zones: Draws boxes across future bars until invalidation. Colors: Fully customizable for bullish and bearish sweeps. 🧬 Original Enhancements This script is based on open-source work by LuxAlgo and has been significantly enhanced with: Multiple detection modes Real-time alert support📣 📣 Efficient pivot memory cleanup📣 📣 Sweep zone auto-extension until broken Improved visual clarity with dotted/dashed lines, and color-coded boxes ✅ Note: The original version had no alerts. This version adds real-time detection alerts for practical trading use. Credit: Original swing detection logic inspired by LuxAlgo’s open-source Liquidity Sweep framework. This version is extended and modified under the terms of the CC BY-NC-SA 4.0 license. 📣 📣 Alerts Included📣📣 🔼 Bullish Wick Sweep📣 🔽 Bearish Wick Sweep📣 These alerts allow traders to be notified the moment a liquidity sweep occurs, providing immediate edge for reactive or anticipatory trading. 📈 How to Use It Add to your chart. Choose the detection type based on your trading style: Wicks for reversals and stop hunts Outbreaks for failed breakouts or retests Wait for sweep zones to form and monitor price behavior around them. Use in conjunction with: Fair Value Gaps (FVG) Order Blocks VWAP Anchors Market Structure Breaks/ Breaks of structures

Math by Thomas Liquidity Pool Description Math by Thomas Liquidity Pool is a TradingView indicator designed to visually identify potential liquidity pools on the chart by detecting areas where price forms clusters of equal highs or equal lows. Bullish Liquidity Pools (Green Boxes): Marked below price where two adjacent candles have similar lows within a specified difference, indicating potential demand zones or stop loss clusters below support. Bearish Liquidity Pools (Red Boxes): Marked above price where two adjacent candles have similar highs within the difference threshold, indicating potential supply zones or stop loss clusters above resistance. This tool helps traders spot areas where smart money might hunt stop losses or where price is likely to react, providing valuable insight for trade entries, exits, and risk management. Features: Adjustable box height (vertical range) in points. Adjustable maximum difference threshold between candle highs/lows to consider them equal. Boxes automatically extend forward for visibility and delete when price sweeps through or after a defined lifetime. Separate visual zones for bullish and bearish liquidity with customizable colors. How to Use Add the Indicator to your chart (preferably on instruments like Nifty where point-based thresholds are meaningful). Adjust Inputs: Box Height: Set the vertical size of the liquidity zones (default 15 points). Max Difference Between Highs/Lows: Set the max price difference to consider two candle highs or lows as “equal” (default 10 points). Box Lifetime: How many bars the box stays visible if not swept (default 120 bars). Interpret Boxes: Green Boxes (Bullish Liquidity Pools): Areas of potential demand and stop loss clusters below price. Watch for price bounces or accumulation near these zones. Red Boxes (Bearish Liquidity Pools): Areas of potential supply and stop loss clusters above price. Watch for price rejections or distribution near these zones. Trading Strategy Tips: Use these zones to anticipate where stop loss hunting or liquidity sweeps may occur. Combine with your Order Block, Fair Value Gap, and Market Structure tools for higher probability setups. Manage risk by avoiding entries into price regions just before large liquidity pools get swept. Automatic Cleanup: Boxes delete automatically once price breaks above (for bearish zones) or below (for bullish zones) the zone or after the set lifetime.

Cluster Reversal Zones 📌 Cluster Reversal Zones – Smart Market Turning Point Detector 📌 Category : Public (Restricted/Closed-Source) Indicator 📌 Designed for : Traders looking for high-accuracy reversal zones based on price clustering & liquidity shifts. 🔍 Overview The Cluster Reversal Zones Indicator is an advanced market reversal detection tool that helps traders identify key turning points using a combination of price clustering, order flow analysis, and liquidity tracking. Instead of relying on static support and resistance levels, this tool dynamically adjusts to live market conditions, ensuring traders get the most accurate reversal signals possible. 📊 Core Features: ✅ Real-Time Reversal Zone Mapping – Detects high-probability market turning points using price clustering & order flow imbalance. ✅ Liquidity-Based Support/Resistance Detection – Identifies strong rejection zones based on real-time liquidity shifts. ✅ Order Flow Sensitivity for Smart Filtering – Filters out weak reversals by detecting real market participation behind price movements. ✅ Momentum Divergence for Confirmation – Aligns reversal zones with momentum divergences to increase accuracy. ✅ Adaptive Risk Management System – Adjusts risk parameters dynamically based on volatility and trend state. 🔒 Justification for Mashup The Cluster Reversal Zones Indicator contains custom-built methodologies that extend beyond traditional support/resistance indicators: ✔ Smart Price Clustering Algorithm: Instead of plotting fixed support/resistance lines, this system analyzes historical price clustering to detect active reversal areas. ✔ Order Flow Delta & Liquidity Shift Sensitivity: The tool tracks real-time order flow data, identifying price zones with the highest accumulation or distribution levels. ✔ Momentum-Based Reversal Validation: Unlike traditional indicators, this tool requires a momentum shift confirmation before validating a potential reversal. ✔ Adaptive Reversal Filtering Mechanism: Uses a combination of historical confluence detection + live market validation to improve accuracy. 🛠️ How to Use: • Works well for reversal traders, scalpers, and swing traders seeking precise turning points. • Best combined with VWAP, Market Profile, and Delta Volume indicators for confirmation. • Suitable for Forex, Indices, Commodities, Crypto, and Stock markets. 🚨 Important Note: For educational & analytical purposes only.

Liquidity Weighted Moving Averages [AlgoAlpha]Description: The Liquidity Weighted Moving Averages by AlgoAlpha is a unique approach to identifying underlying trends in the market by looking at candle bars with the highest level of liquidity. This script offers a modified version of the classical MA crossover indicator that aims to be less noisy by using liquidity to determine the true fair value of price and where it should place more emphasis on when calculating the average. Rationale: It is common knowledge that liquidity makes it harder for market participants to move the price of assets, using this logic, we can determine the coincident liquidity of each bar by looking at the volume divided by the distance between the opening and closing price of that bar. If there is a higher volume but the opening and closing prices are near each other, this means that there was a high level of liquidity in that bar. We then use standard deviations to filter out high spikes of liquidity and record the closing prices on those bars. An average is then applied to these recorded prices only instead of taking the average of every single bar to avoid including outliers in the data processing. Key features: Customizable: Fast Length - the period of the fast-moving average Slow Length - the period of the slow-moving average Outlier Threshold Length - the period of the outlier processing algorithm to detect spikes in liquidity Significant Noise reduction from outliers: