ICTProTools | ICT Insight - Time & Price Zones🚀 INTRODUCTION
The Time and Price Zones indicator builds upon the foundational concepts of ICT (Inner Circle Trader) and Smart Money Concepts (SMC). These methodologies analyze the behavior of institutional traders (known as "smart money") by focusing on liquidity, key price levels, and market timing.
Liquidity refers to areas with high concentrations of pending orders (stops, take-profits, entries) in the market. Large institutions efficiently need to execute their massive orders without causing excessive slippage. To achieve this, they strategically create and exploit liquidity pools by driving the price toward areas where retail traders cluster their positions.
Then, through "liquidity grabs" or "stop hunts,” institutions accumulate or distribute positions at optimal prices . This strategy allows them to fill large orders with minimal market impact, typically clearing out retail traders' positions before the price reverses.
This indicator helps traders apply these principles by merging time-based and price-based analysis tools for better market understanding. By combining high-impact sessions like Kill Zones with pivotal price markers such as Previous Highs and Lows, traders can see where institutional activity intersects with liquidity pools, improving their decision-making.
This powerful combination allows users to monitor market dynamics in real time, helping them spot sentiment shifts and identify crucial turning points more effectively.
💎 FEATURES
Kill Zones
Kill Zones are critical periods of the trading day characterized by heightened institutional activity, resulting in increased liquidity and significant price movements. By recognizing these zones, you can strategically focus your efforts on the most advantageous moments for trading.
The Asian Session , which runs from 5 PM to 1 AM New York time, serves as an essential liquidity provider before the onset of more volatile trading periods. This session is intricately linked to the Smart Money Tool (SMT - See below), as the highs and lows established during this period provide foundational liquidity levels. You can set alerts when these levels are breached , allowing you to stay informed without constant chart monitoring and make timely trading decisions.
Transitioning into the London Kill Zone from 2 to 5 AM New York time marks the beginning of the European session, often associated with increased volatility. Following this, the New York Kill Zone , occurring from 7 to 10 AM , sees significant overlap between the London and New York sessions, where liquidity flows intensify and frequently correlate with notable price reversals. Finally, the London Close from 10 to 12 PM signifies the end of the European session, often ending the day with a retracement in the daily range.
Thanks to the timezone you can select relative to a region, Kill Zones will automatically adapt to time changes throughout the year and between different brokers , ensuring accurate Kill Zone timings without manual adjustments.
Incorporating our advanced Kill Zones indicator into your trading strategy gives you unparalleled insights and enhanced functionality. With integrated alerts for breaches of key levels, you can stay informed and ready to act without the need for constant chart monitoring, allowing you to focus on executing your trading strategies effectively.
We can see on this chart the identified Kill Zones during the trading day on EURUSD , including the Asian Session in gray, which tends to consolidate slightly (creating liquidity), the London Kill Zone in orange, which tends to move fast, often taking Asian quickly, the New York Kill Zone in green, with always a lot of movements, and the London Close in blue, seeming rather to retrace.
The midline indicates the 50% mark of the session, serving as a reference point for potential price reactions. Additionally, the highs and lows established during the Asian Session are linked to the Smart Money Tool (SMT) and can trigger alerts when breached. Here, you could have received an alert when Asian Low (marked AL) and Asian High (marked AH) were swept.
Previous & Open Levels
Previous and Open levels are key elements in ICT methodology, showing important price points from major timeframes (Daily, Weekly, Monthly). These levels (Previous High, Low, Open, and their separators) help traders understand price dynamics and anticipate market shifts.
The Previous levels connect directly to the Smart Money Tool (SMT - See below) as they provide foundational liquidity levels. In ICT methodology, previous are levels where many traders place their Stop Loss, thus creating liquidity. This helps you understand potential market reactions and whether prices will likely continue their trend or reverse.
You’ll be instantly notified whenever the price interacts with any of these Previous levels. This means you can stay informed about critical market movements without the need to monitor your charts constantly.
The indicator also displays Opening prices and includes separators for daily, weekly, and monthly levels, offering a clear market overview.
Open levels can act as simplified indicators of Premium and Discount Zones. To be above the opening price can be considered as the Premium Zone , where the market offers higher prices, typically suitable for selling opportunities. Conversely, to be below this price can be considered as the Discount Zone , where prices are relatively lower, offering potential buying opportunities.
These visual elements help you identify crucial market zones that reflect both past price action and current market dynamics.
Our indicator offers you the exclusive ability to integrate the True Day Range, as described by ICT. Based on institutional logic, this concept defines the trading day starting at 00:00 New York time. You can adapt this flexible feature to match your trading style and analysis needs.
By incorporating our advanced Previous levels indicator into your trading arsenal, you gain powerful insights and enhanced functionality.
The chart above displays key Previous and open levels on EURUSD , including the Month, Week, and Day lines, along with separators for enhanced clarity. All levels are based on the True Day Range Mode. The notes indicate significant price points, highlighting how the price interacts with these important levels, which helps us to understand it…
We can start with the biggest liquidity, the Previous Month. In this example, we can see the PMH, and the price seems to have used this level as a reversal point. The PM levels are indeed significant liquidity zones. We can observe the creation of wicks that interact with this level, signaling a liquidity grab.
Following this, the price drops quickly before rebounding, creating a liquidity range, that will probably be liquidated then… This is why it rises again to form what is now the PDH (Previous Day High), using it as liquidity (inducement) while using the PWH (Previous Week High) as a rebound level. The PWH is indeed a High Resistance (HR) area since there is only a few liquidity at this point thanks to the liquidity grab. The price has no reason to move higher.
Looking ahead, we can forecast that the price may continue its decline, potentially targeting lower liquidity levels. There is likely additional liquidity beneath the current range, particularly near the PDL (Previous Day Low) and PWL (Previous Week Low).
Additionally, we can note that at this point, the price was above the D.O.P (Daily Open) and W.O.P (Weekly Open), areas where selling would be more favorable. The price reacts significantly around these levels, creating large wicks, demonstrating their importance.
SMT Dashboard (Smart Money Tool)
The Smart Money Tool (SMT) is a powerful concept within the ICT methodology that enables you to compare various assets based on liquidity uptake from significant price levels.
By utilizing the SMT, you can analyze any asset , whether it’s a currency pair, stock, cryptocurrency, or other financial instruments. The dashboard helps you identify the strongest and weakest assets by analyzing their interactions with critical liquidity levels and identifying divergences , including those related to the Previous Month, Previous Week, Previous Day, and Asian Session Highs and Lows. By doing so, he identifies the most bullish symbol. It will therefore tend to rise more easily, or at least fall less, than the other one.
The SMT includes alert functionality that notifies you whenever a new SMT is created or has changed , allowing you to stay informed about which asset is currently the strongest. This means you can react promptly to market changes without constantly monitoring your charts.
Additionally, since the SMT relies on the Previous levels, it is influenced by the selected mode, whether based on traditional Previous levels or the True Day Range . This flexibility ensures that you are using the most relevant information available for your trading decisions. Asian High and Asian Low levels are also calculated according to the schedules configured in the Kill Zones section.
In summary, the Smart Money Tool displays the strongest and weakest assets based on liquidity uptake, providing you with clear information on which asset to prioritize, so you can maximize your potential profits. By incorporating this concept into your approach, you align your decisions with prevailing market dynamics, offering you unparalleled insights and features tailored to enhance your trading strategy.
This chart displays the Smart Money Tool (SMT) dashboard on the GBPUSD symbol, which compares the liquidity uptake for EURUSD and GBPUSD pairs. The indicator shows that both Previous Month's and Week's High and Low were taken for both pairs. However, the Asian High (AH) has been breached on GBPUSD but not on EURUSD, while the Asian Low (AL) has been taken by EURUSD. As a result, GBPUSD is identified as the stronger asset, indicating that traders should focus on buying opportunities with GBPUSD rather than EURUSD. This analysis helps traders prioritize the best symbol for their strategies based on the most relevant liquidity divergences.
✨ SETTINGS
Kill Zones: Customize the display options for the Asian (with lines), London, New York, and London Close Kill Zones. Configure timezone options, midlines, and color preferences.
Previous & Open Levels: Adjust how Previous High/Low levels, Open and separators are displayed. Select between Classic or True Day Range Mode based on your trading preferences.
SMT: Choose the correlated assets for the SMT comparison and select which liquidity (Monthly, Weekly, Daily, Asian) to use and display. Configure settings like liquidity sweeps and strongest pair emojis.
Alerts: Configure alerts for key events such as the Asian High/Low or Previous Levels liquidity sweep, and SMT divergences.
🎯 CONCLUSION
The Time and Price Zones indicator offers a practical and insightful approach to market analysis by combining major principles of ICT and Smart Money Concepts into a cohesive tool. It empowers traders to understand key price levels, liquidity dynamics, and institutional activity with ease. By helping traders avoid being the liquidity of the market and instead align with institutional flows, the indicator can significantly enhance performances. While its features provide a valuable edge, it’s essential to remember that none should be used on its own and many more factors go into being a profitable trader.
Liquidity
FU Candle Indicator V3.2What the FU Candle Indicator does:
First we need to understand what FU candles are. There's bullish and bearish FU candles.
Bullish FU candles are candles that have a long wick that takes out the previous candles low, then turns around and closes above the high of the previous candle.
Bearish FU candles are candles that have a long wick that takes out the previous candles high, then turns around and closes below the low of the previous candle.
Then there's so called attempted FU candles (ATT FU)
The difference between normal FU candles and ATT FU candles is, that the ATT FU candle doesn't close above/below the high/low of the previous candle but only above the previous candle's body close.
Bullish ATT FU Candle:
Bearish ATT FU Candle:
Detection of Bullish FU Candles:
Bullish FU Candles are detected by measuring the distance between the low of the previous candle and the low of the current candle.
Then the distance between the previous candles high and the current candles close price are measured.
If current candle low < previous candle low and current candle close > previous candle high = Bullish FU Candle.
Detection of Bullish ATT FU Candles:
Bullish ATT FU Candles are detected by measuring the distance between the low of the previous candle and the low of the current candle.
Then the distance between the previous candles close or open price and the current candles close price are measured. If the previous candle closed bearish, the open price is used for comparison, if the previous candle closed bullish, the close price is used for comparison.
If current candle low < previous candle low and current candle close > previous candle open or close = Bullish ATT FU Candle.
Detection of Bearish FU Candles:
Bearish FU Candles are detected by measuring the distance between the high of the previous candle and the high of the current candle.
Then the distance between the previous candles low, AND the current candles close price are measured.
If current candle high > previous candle high, AND current candle close < previous candle low = Bearish FU Candle.
Detection of Bearish ATT FU Candles:
Bearish ATT FU Candles are detected by measuring the distance between the high of the previous candle and the high of the current candle.
Then the distance between the previous candles close or open price and the current candles close price are measured. If the previous candle closed bearish, the open price is used for comparison, if the previous candle closed bullish, the close price is used for comparison.
If current candle high > previous candle high and current candle close < previous candle open or close = Bearish ATT FU Candle.
What makes this script unique?
It shows and liquidity grab and a break of structure on a lower timeframe in one candle.
It allows to adjust the settings for the asset and timeframe you're using
The built in filters (Fractal Filter and EMA Filter) are both optional but allow to filter out certain candles and most importantly it leaves room for experimentation and optimisation to your trading style.
Input Settings and how to use them:
Bullish FU Candle Color --> This setting is to set the color for bullish FU candles.
Bearish FU Candle Color --> This setting is to set the color for bearish FU candles.
Chart --> This setting enables you to display FU's on different timeframes instead of only the current time. It's set to current timeframe by default.
Liq. Grab in Points --> This is the strength of the liquidity grab. By how many points has the current candle taken out the low/ high of the previous candle. It's set to 20 by default but it has to be adjusted to the timeframe and asset you're using.
Engulfing in Points --> This the strength of the engulfing of the previous candle. It measures the distance of the current close price to the open, close, high or low of the previous candle. It depends if the current candle is bullish or bearish and if the previous candle was bullish or bearish and if ATT FUs are enabled but this setting applies to all methods. It's set to 20 by default but you have to adjust it to the asset and timeframe you're using.
Min. Size in Points --> This setting is to filter out tiny candles. It measures the overall size of the FU candle from low to high. It's set to 20 by default but you have to adjust it to the asset and timeframe you are using.
Min. Body Size in Points --> This setting is to filter out FU candles that have a tiny body. It measures the size of the body from open to close. It's set to 20 by default but you have to adjust it to the asset and timeframe you are using.
Max. Body Size in Points --> This setting is to filter out FU candles that have a huge body. It measures the size of the body from open to close. It's set to 10000 by default but you have to adjust it to the asset and timeframe you are using.
Show ATT FU Candles --> ATT FU Candles are FU's where the body only engulfs the previous candles body but not the wick. This type of FU candles is just as valid as the strong FU's where the Body and the wick of the previous Candle is engulfed. The setting is enabled by default.
Rejection Filter --> This setting is used filter out FU candles where the opposite side rejection is stronger than the body direction of the FU. This filters out a lot of traps. It's disabled by default.
Fractal Filter --> FU's are only valid if they broke a fractal of the past x candles. This filters out some of the FU candles that are inside a range and therefore invalid. This is an optional filter and disabled by default.
EMA Filter --> FU's are only if they are above/ below the EMA. This is to filter out most of the FU candles that are inside ranges. The EMA period can be set too. This is an optional filter and enabled and EMA length set to 7 by default. You can enable it and/ or change the length of the EMA to fit your trading style.
Show Entry Lines --> The entry line setting has been changed in terms of styling. The upper and lower line has been removed. Now only the 50% retracement line of the candle body is displayed and the line type, color, strength and length can be set to keep charts as clean as possible.
Alert Timeframes --> You can select the timeframes for which you want to receive an alert if you set and alert for the FU Candle indicator. If you set an alert for the FU Candle Indicator it will send an alert for every FU candle on every selected timeframe.
TF1-TF8 --> This setting is to enable or disable alerts for timeframe 1 - timeframe 8. By default all alerts are disabled, I recommend only enabling the ones that you actually use.
Recommended use:
A bullish FU candle doesn't necessarily mean it's a long and vice versa a bearish FU candle doesn't necessarily mean it's a short. In fact, most FU candles are traps. Often times you'll see a bullish FU candle starting a bearish reversal.
Whenever you see an FU Candle check the following:
Did the FU candle take relevant liquidity?
Is the FU Candle in line with the overall bias or does it go against the bias?
Where did the FU react? Example: A bearish FU candle that reacts in a bullish FVG is a perfect long entry and vice versa.
A bullish FU candle that takes out a relevant swing high can often be a fake-out and price can immediately reverse as the next candle opens.
Timing is also very important. Usually the valid FU candles happen after a strong move to one direction during high volume times and right before or right after a new candle opens on a higher timeframe.
Examples of valid setups:
Nr. 1) Mitigation Setup
Overall bullish on the higher time frame, liquidity grab to the downside, shift in momentum, strong move to the upside left a FVG. later price comes back into the FVG and forms a FU candle --> perfect long trade targeting the opposite side of the range.
Entry either at close of the FU or at the 50% retracement.
Nr. 2) Trap Setup
Clear bullish trend respecting the trend line, bearish FU candle forms but it didn't take any relevant liquidity to the upside. Only internal range liquidity. Perfect long entry using a buy limit below the lower wick of the FU candle with the SL below the nearest low.
Nr. 3) Liquidity Grab Setup
Bearish trend, price comes up aggressively and takes out a high and forms an FU Candle. Market entry short at close of the FU candle or at the 50% retracement of the FU candle or by putting a limit order right above the wick of the candle that follows the FU candle, targeting the opposite side of the range.
Nr. 4) Fake Breakout Setup
Price takes out a significant HTF low, then makes at least 2 BOS on the LTF and forms an Order Block or leaves an FVG. Price forms a bearish U that fails to close below the FVG or Orderblock.
Market entry long at the close of the bearish FU targeting the opposite side of the range. Vice versa for shorts. In simple terms: Bullish FUs at the top of the range and bearish FUs at the bottom of the range are usually always traps.
Sometimes price takes out the high/low of a trap FU before reversing aggressively so you can also have a limit order below the low of the bearish FU or above the high of a bullish FU in this case. But you risk missing the trade.
Entry Methods:
Entry Type 1) Market Entry at the close of the FU candle. --> Never miss a trade, not the best RRR.
Entry Type 2 Limit Entry at the 50% retracement of the body of the FU candle. --> Miss some of the trades but better RRR.
Entry Type 3 Limit order below the wick of the candle that follows the FU candle. --> Miss quite a lot of trades but by far best RRR.
Why this is a closed source script:
The source code of this script is not open because I have spent several years of my life developing it and I use it in all my trading bots.
Also I'm open for feedback and will modify/ update the script for free if I get input that can make it better.
For questions, please reach out via DM or check out my youtube channel. I have several videos explaining in detail how I use these candles, which are valid and which aren't.
Ultra Liquidity HeatmapThe Ultra Liquditiy Heatmap is a unique visualization tool designed to map out areas of high liquidity on the chart using a dynamic heatmap, helping traders identify significant price zones effectively.
Introduction
The Ultra Liquidity Heatmap is an advanced indicator for visualizing key liquidity areas on your chart. Whether you're a scalper, swing trader, or long-term investor, understanding liquidity dynamics can offer a powerful edge in market analysis. This tool provides a straightforward visual representation of these zones directly on your chart.
Detailed Description
The Ultra Liquidity Heatmap identifies high and low liquidity zones by dynamically marking price ranges with heatmap-like boxes.
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Dynamic Zone Creation
For low liquidity zones, the script draws boxes extending from the low to the high of the bar. If the price breaks below a previously defined zone, that box is removed.
Similarly, for high liquidity zones, the script tracks and highlights price ranges above the current high, removing boxes if the price exceeds the zone.
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Customizable Visuals
Users can adjust the transparency and color of the heatmap, tailoring the visualization to their preference.
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Real-Time Updates
The indicator constantly updates as new price data comes in, ensuring that the heatmap reflects the most current liquidity zones.
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Efficiency and Scalability
The script uses optimized arrays and a maximum box limit of 500 to ensure smooth performance even on higher timeframes or during high-volatility periods.
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The Ultra Liquidity Heatmap bridges the gap between raw price data and actionable market insight. Add it to your toolbox and elevate your trading strategy today!
Double Purge Theory (DPT)The purpose of this script is to identify the Double Purge Theory-MMXM i.e. the run on liquidity on both the sell-side and the buy-side liquidity.
The simple use case behind this script is to provide additional entry confluence for your trade setups and more efficient stop loss placement on any given timeframe.
DPT in itself is a price signature that generally occurs before price makes impulsive move in the direction of the higher time frame narrative. It is not to be used as a standalone indicator for building narrative/framing bias.
How to use this script ?
1) Wait for the indicator to display the BLUE CANDLE highlight (DPT candle) that indicates the double purge has occurred.
2) The DPT should occur at/after price has tapped into a key level and is within the ICT killzones.
3) Position to frame your trade setup once you get a candle with a body close below / above the DPT candle , depending on your bias and stop loss placement at DPT candle high/low or after the body closure as mentioned in step 2.
For example :
Liquidity Channels [TFO]This indicator was built to visually demonstrate the significance of major, untouched pivots. With traders commonly placing orders at or near significant pivots, these areas are commonly referred to as Resting Liquidity. If we attribute some factor of growth over time, we can quickly visualize that certain pivots originated much further away than others, if their channels appear larger.
A pivot in this case is validated by the Liquidity Strength parameter. If set to 50 for example, then a pivot high is validated if its high is greater than the high of the 50 bars to the left and right of itself. This also implies a delay in finding pivots, as the drawings won't actually appear until validation, which would occur 50 bars after the original high has formed in this case. This is typical of indicators using swing highs and lows, as one must wait some period of time to validate the pivots in question.
The Channel Growth parameter dictates how much the Liquidity Channels will expand over time. The following chart is an example, where the left-hand side is using a Channel Growth of 1, and the right-hand side is using a Channel Growth of 10.
When price reaches these levels, they become invalidated and will stop extending to the right. The other condition for invalidation is the Delete After (Bars) parameter which, when enabled, declares that untouched levels will be deleted if the distance from their origin exceeds this many bars.
This indicator also offers an option to Hide Expanding Channels for those who just want the actual levels on their chart, without the extra visuals, which would look something like the below chart.
Screener | FractalystWhat’s the purpose of this indicator?
This indicator is part of the Optirange suite , which analyzes all timeframes using a mechanical top-down approach to determine the overall market bias. It helps you identify the specific timeframes and exact levels for positioning in longs, shorts, or guiding you on whether to stay away from trading a particular market condition.
The purpose of the Screener indicator is to track the contextual bias of multiple markets simultaneously on the charts without the need to switch between pairs. This allows traders to monitor various assets in real-time, enhancing decision-making efficiency and identifying potential trading opportunities more effectively.
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How does this indicator identify the overall market bias?
This indicator employs a systematic top-down approach, analyzing market structure, fractal blocks, and their mitigations from the 12M timeframe down to the 1D timeframe to uncover the story behind the market. This method helps identify the overall market bias, whether it’s bullish, bearish, or in consolidating conditions.
Below is a flowchart that illustrates the calculation behind the market context identification, demonstrating the systematic approach:
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According to the above trade plan, why do we only look for mitigations within Fractal Blocks of X1/X2?
In this context, "X" stands for a break in the market's structure, and the numbers (1 and 2) indicate the sequence of these breaks within the same trend direction, either up or down.
We focus on mitigations within Fractal Blocks during the X1/X2 stages because these points mark the early phase (X1) and the continuation (X2) of a trend. By doing so, we align our trades with the market's main direction and avoid getting stopped out in the middle of trends.
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How does this indicator identify ranges in a mechanical way?
Since the indicator is part of the Optirange suite , it follows the exact rules that Optirange utilizes to identify breaks of market structures in a mechanical manner.
Let’s take a closer look at how the ranges are calculated:
1- First, we need to understand the importance of following a set of mechanical rules in identifying market structure:
The image above illustrates the difference between a subjective and a mechanical approach to analyzing market structure. The subjective method often leads to uncertainty, where traders might struggle to pinpoint exact breaks in structure, resulting in inconsistent decision-making. Questions like “Is this a break?” or “Maybe this one...?” reflect the ambiguity of manual interpretation, which can cause confusion and errors in trading.
On the other hand, the mechanical approach depicted on the right side of the image follows a clear, rule-based method to define breaks in market structure. This systematic approach eliminates guesswork by providing precise criteria for identifying structural changes, such as marking structural invalidation levels where market bias shifts from bullish to bearish or vice versa. The mechanical method not only offers consistency but also integrates statistical probabilities , enhancing the trader's ability to make data-driven decisions.
By adhering to these mechanical rules, the Screener indicator ensures that ranges are identified consistently, allowing traders to rely on objective analysis rather than subjective interpretation . This approach is crucial for accurately defining market structures and making informed trading decisions.
2- Now let's take a look at a practical example of how the indicator utilizes Pivot points with a period of 2 to identify ranges:
In this image, we see a Bearish Scenario on the left and a Bullish Scenario on the right. The indicator starts by identifying the first significant swing on the chart. It then validates this swing by checking if there is a preceding swing high (for a bearish scenario) or swing low (for a bullish scenario). Once validated, the indicator confirms a break of structure when price closes below or above these points, respectively.
For instance, in the Bearish Scenario:
The first significant swing is identified.
The script checks for a preceding swing high before confirming any structural break.
A candle closure below the swing low confirms the first bearish break of structure.
This results in a confirmed market bias towards bearishness, with structural liquidity levels indicated for potential price targets.
In the Bullish Scenario:
The process is mirrored, identifying the first swing low and validating it with a preceding swing low.
A closure above this swing confirms the bullish break of structure.
This leads to a market bias towards bullishness, with invalidation levels to watch if the trend shifts.
This practical example demonstrates how the indicator systematically identifies market ranges, ensuring that traders can make informed decisions based on clear, rule-based criteria.
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How does this indicator identify ranges in a mechanical way, What are the underlying calculations?
Fractal blocks refer to the most extreme swing candle within the latest break. They can serve as significant levels for price rejection and may guide movements toward the next break, often in confluence with topdown analysis for added confirmation.
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What are mitigations, What are the underlying calculations?
Mitigations refer to specific price action occurrences identified by the script:
1- When the price reaches the most recent fractal block and confirms a swing candle, the script automatically draws a line from the swing to the fractal block bar and labels it with a checkmark.
2- If the price wicks through the invalidation level and then retraces back to the fractal block while forming a swing candle, the script labels this as a double mitigation on the chart.
This level will serve as the next potential invalidation level if a break occurs in the same direction.
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What does the right table display?
The table located at the right of your chart displays five colored symbols that represent the contextual market bias:
Green: The market is in a bullish condition.
Red: The market is in a bearish condition.
White: The market condition is uncertain, and it is advisable to stay away from trading.
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What does the bottom table display?
The bottom table can be turned on in the Optirange indicator and serves multiple purposes:
Range Counts and Mitigations: It shows the range counts and their mitigations across multiple timeframes, providing a comprehensive view of market dynamics.
Hourly Timeframe Probabilities: The bottom row of the bias table displays the probabilities for various hourly timeframes, helping to identify potential entry levels based on the multi-timeframe bias determined by the Screener.
In a bullish market context, you should look for long positions by focusing on hourly timeframes where buy-side probability exceeds 50%.
In a bearish market context, you should look for short positions by focusing on hourly timeframes where the sell-side probability exceeds 50%.
When the symbol is white within the Screener table, it signals that the market bias is unclear, and it's recommended to stay away from trading in such conditions.
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How the range probabilities are calculated?
Each break of market structure, denoted as X, is assigned a unique ID, starting from X1 for the first break, X2 for the second, and so on.
The probabilities are calculated based on breaks holding, meaning price closing through the liquidity level, rather than invalidation. This probability is then divided by the total count of similar numeric breaks.
For example, if 75 out of 100 bullish X1s become X2, then the probability of X1 becoming X2 on your charts will be displayed as 75% in the following format: ⬆ 75%
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What does the top table display?
The top table on the charts displays the current market context, offering insights into the underlying bias. It highlights the high-timeframe (HTF) bias and guides you on which timeframes you should use to enter long or short positions, based on the probability of success.
Additionally, when the market bias is unclear, the table clearly signals that it's best to avoid trading that specific market until the context or market story becomes clearer. This helps traders make informed decisions and avoid uncertain market conditions.
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How does the Screener indicator identify the market bias/context/story ?
- Market Structure: The Optirange indicator analyzes market structure across multiple timeframes, from a top-down perspective, including 12M, 6M, 3M, 1M, 2W, 1W, 3D, and 1D.
- Fractal Blocks: Once the market structure or current range is identified, the indicator automatically identifies the last push before the break and draws it as a box. These zones acts as a key area where the price often rejects from.
- Mitigations: After identifying the Fractal Block, the indicator checks for price mitigation or rejection within this zone. If mitigation occurs, meaning the price has reacted or rejected from the Fractal Block, the indicator draws a checkmark from the deepest candle within the Fractal Block to the initial candle that has created the zone.
- Bias Table: After identifying the three key elements—market structure, Fractal Blocks, and price mitigations—the indicator compiles this information into a multi-timeframe table. This table provides a comprehensive top-down perspective, showing what is happening from a structural standpoint across all timeframes. The Bias Table presents raw data, including identified Fractal Blocks and mitigations, to help traders understand the overall market trend. This data is crucial for the screener, which uses it to determine the current market bias based on a top-down analysis.
- Screener: Once all higher timeframes (HTF) and lower timeframes (LTF) are calculated using the indicator, it follows the exact rules outlined in the flowchart to determine the market bias. This systematic approach not only helps identify the current market trend but also suggests the exact timeframes to use for finding entry, particularly on hourly timeframes.
Example:
12M Timeframe:
OANDA:EURUSD
6M Timeframe :
OANDA:EURUSD
3M Timeframe :
OANDA:EURUSD
1M Timeframe :
OANDA:EURUSD
2W Timeframe :
OANDA:EURUSD
1W Timeframe :
OANDA:EURUSD
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User-input settings and customizations
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FxCanli RangeFxCanli Range is an indicator based on ICT Internal Range and External Range concept.
What is ICT Internal Range Liquidity?
The Fair Value Gap is marked as the ICT internal range liquidity.
ICT Fair Value Gap is marked as the liquidity because it is a formation of three candles leaving an area between high and low of 1st and 3rd candle where price do not overlap.
FxCanli Range Indicator draws all Internal Ranges above explaining the ICT internal range liquidity.
What is Imbalance (FVG)?
Fair Value Gaps are price jumps caused by imbalanced buying and selling pressures.
A bullish Fair Value Gap is created when there is a gap between the high of the first candle and the low of the third candle.
A bearish Fair Value Gap is created when there is a gap between the low of the first candle and the high of the third candle.
What is ICT External Range Liquidity?
The swing high and swing low of an ICT dealing range are termed as external range.
The high of an ICT dealing range is termed as “buy side liquidity” assuming the buy stops rest above the high of dealing range.
While the low of an ICT dealing range is known as “sell side liquidity” assuming the sell stops resting below the low of dealing range.
FxCanli Range Indicator draws all External Ranges above explaining the ICT external range liquidity
🔶 USAGE & EXAMPLES
As ICT said us, Price moves 2 side, Internal Liquidity or External Liquidity
External Range Liquidity to Internal Range Liquidity
When price reached to External Range, it will sweep the External Range Liquidity
at that time, we have to wait price to reverse and start to move to Internal range liquidity (FVG)
our strategy has to be like this; we have to open 2 time less lower time frame
if we are at 1 hour chart, we have to open 1Hour - 15 min - 5 min chart
and wait for Trend Reversal pattern at there
Internal Range Liquidity to External Range Liquidity
When price reached to Internal Range(FVG), it will fill the imbalance
at that time, we have to wait price to reverse and start to move to External Range Liquidity.
Again we have to decrease our time frame 2 times.
if we are at 1 hour chart, we have to open 1Hour -> 15 min -> 5 min chart
and wait for Trend Reversal pattern at there
🔶 SETTINGS
With the settings;
▪️ Fractal Properties;
it will show fractals or not, you will decide the period of fractals, Style, Color and also Size of the fractal
▪️ Trend Line Properties;
it will show trend or not, you will decide the color of the trend, line style, and line width.
▪️ External Range Properties;
it will show external range or not, Color of the level, line style, line witdh, show text of the external range, what will it write at the text, place/size/color of the text, show time frame, show price,
▪️ Internal Range Properties;
it will show internal range or not, Color of the level, line style, line witdh, show text of the external range, what will it write at the text, place/size/color of the text, show time frame, show price,
▪️ Alert Conditions
you will set alerts at this part
Alert or not, liquidity(External Range) alerts, FVG(Internal Range) alerts, FVG filled alert
Part 1
Part 2
Wish you great trades...
Volumetric Rejection Blocks [UAlgo]The Volumetric Rejection Blocks is designed to help traders identify and visualize key price levels where volumetric rejections occur, which may indicate a shift in market sentiment. These rejections can signal potential trend reversals or areas where price action is likely to face support or resistance. By drawing rejection blocks based on volumetric strength, the indicator allows users to observe where significant buying or selling pressure has been exerted, which can be used as a reference point for future price action.
Also indicator dynamically calculates swing highs and lows, analyzes bullish and bearish strengths based on volume-weighted price movements, and displays rejection blocks on the chart. Each rejection block represents an area where the price attempted to move beyond a certain level but faced rejection, either on a close or wick basis. This can be particularly useful for traders who rely on market structure and order flow to make informed decisions about entering or exiting trades.
🔶 Key Features
Swing Length Customization: Allows users to define the swing length, helping tailor the sensitivity of the swing high and low detection to the specific market conditions.
Rejection Block Visualization: Displays up to the last 10 rejection blocks based on user settings, clearly marking areas of significant bullish or bearish rejections.
Volumetric Strength Analysis: The indicator calculates bullish and bearish strength for each rejection block, based on volume-weighted price movements over the last few bars, giving insight into the intensity of the rejection.
Violation Check Type: Offers two options for violation detection—"Close" and "Wick". This allows traders to specify whether a price level is considered broken only if it closes beyond the level or if any wick breaches it.
Bullish and Bearish Block Coloring: Rejection blocks are colored to represent bullish (green) and bearish (red) rejection areas. The color transparency can be adjusted for clear visibility overlaid on the price chart.
Market Structure Labels: Labels and lines marking "Market Structure Shift" (MSS) and "Break of Structure" (BOS) are displayed, giving traders context about significant market structure changes.
🔶 Interpreting the Indicator
Rejection Blocks: These colored blocks on the chart indicate areas where the price faced significant buying or selling pressure. A green block suggests a bullish rejection (support zone), where buyers absorbed the sell-off, potentially pushing the price upward. Conversely, a red block indicates a bearish rejection (resistance zone), where sellers overpowered buyers, potentially driving the price lower.
Strength Analysis: The width of the green and red sections within a rejection block represents the relative bullish and bearish strengths. A wider green section indicates stronger bullish support, while a wider red section suggests more robust bearish resistance. This helps traders gauge the likelihood of price holding or breaching these levels.
Market Structure Shift (MSS) and Break of Structure (BOS): The indicator automatically detects and labels significant changes in market structure. An "MSS" label indicates the first break, suggesting a potential shift in trend direction. A "BOS" label indicates a subsequent confirmation in trend direction, allowing traders to recognize potential trend continuations.
Violation Check: Traders can choose how to interpret breaks of these rejection blocks. Using the "Close" option provides a more conservative approach, requiring a close beyond the level for confirmation. The "Wick" option is more aggressive, treating any wick beyond the level as a break.
🔶 Disclaimer
Use with Caution: This indicator is provided for educational and informational purposes only and should not be considered as financial advice. Users should exercise caution and perform their own analysis before making trading decisions based on the indicator's signals.
Not Financial Advice: The information provided by this indicator does not constitute financial advice, and the creator (UAlgo) shall not be held responsible for any trading losses incurred as a result of using this indicator.
Backtesting Recommended: Traders are encouraged to backtest the indicator thoroughly on historical data before using it in live trading to assess its performance and suitability for their trading strategies.
Risk Management: Trading involves inherent risks, and users should implement proper risk management strategies, including but not limited to stop-loss orders and position sizing, to mitigate potential losses.
No Guarantees: The accuracy and reliability of the indicator's signals cannot be guaranteed, as they are based on historical price data and past performance may not be indicative of future results.
Accumulation Map [LuxAlgo]The Accumulation Map is a charting tool that tracks traded volume across all price levels within a specified period.
It highlights the relationship between an asset's price and traders' willingness to buy or sell, helping to identify accumulation zones.
These zones represent areas of significant trading activity and provide insights into potential support and resistance levels. The indicator displays these zones using a heatmap, offering a clear, visual representation of market sentiment and activity based on volume.
🔶 USAGE
The Accumulation Map shows the distribution of traded volume across different price levels over a specific period. The volume nodes are displayed as color gradients, each reflecting the accumulation level (trading activity) at that price range.
The heatmap visually represents accumulation areas on the chart with color gradients. This visualization helps traders easily spot areas of significant interest and potential support or resistance levels within the market.
Metric Display controls how accumulation metrics appear on the chart. Options include Level Value Ratio, Level Value Proportion, Combined View, or None.
Color Theme allows users to switch between different color themes.
🔶 SETTINGS
The script includes user-defined parameters to customize profiles. Each input in the indicator settings is provided with a tooltip explaining its usage.
🔹 Accumulation Map
Accumulation Map | Heatmap: Toggles the visibility of the Accumulation Profile | Heatmap.
Metric Display: Controls how accumulation metrics are displayed on the chart.
Color Theme: Switches between different color themes.
🔹 Style & Settings
High Accumulation Color and Threshold: Customize the color for zones with high accumulation, and set the percentage threshold for high accumulation areas (recommended 50%–99%).
Average Accumulation: Define the color for zones with average accumulation.
Low Accumulation: Customize the color for zones with low accumulation, with a threshold range of 10%–40%.
Number of Rows: Specify the number of rows the accumulation map will display.
Horizontal Offset: Controls the horizontal offset of the map relative to the most recent bar.
Profile Width (bars): Sets the profile width in bars.
Extend Calculation To The Right: Extends the calculation to the most recent bar
Anchor Points: Set the first and second anchor points for the map.
🔶 RELATED SCRIPTS
Money-Flow-Profile
Immediate Rebalance ICT [TradingFinder] No Imbalances - MTF Gaps🔵 Introduction
The concept of "Immediate Rebalance" in technical analysis is a powerful and advanced strategy within the ICT (Inner Circle Trader) framework, widely used to identify key market levels.
Unlike the "Fair Value Gap," which leaves a price gap requiring a retracement for a fill, an Immediate Rebalance fills the gap immediately, representing an instant balance that strengthens the prevailing market trend. This structure allows traders to quickly spot critical price zones, capitalizing on strong trend continuations without the need for price retracement.
The "Immediate Rebalance ICT" indicator leverages this concept, providing traders with automated identification of critical supply and demand zones, order blocks, liquidity voids, and key buy-side and sell-side liquidity levels.
Through features like crucial liquidity points and immediate rebalancing areas, this tool enables traders to perform precise real-time market analysis and seize profitable opportunities.
🔵 How to Use
The Immediate Rebalance indicator assists traders in identifying reliable trading signals by detecting and analyzing Immediate Rebalance zones. By focusing on supply and demand areas, the indicator pinpoints optimal entry and exit positions.
Here’s how to use the indicator in both bearish (Supply Immediate Rebalance) and bullish (Demand Immediate Rebalance) structures :
🟣 Bullish Structure (Demand Immediate Rebalance)
In a bullish scenario, the indicator detects a Demand Immediate Rebalance formed by two consecutive bullish candles with overlapping wicks. This structure signifies an immediate demand zone, where price instantly balances within the zone, reducing the likelihood of a revisit and indicating potential upside momentum.
Zone Identification : Look for two consecutive bullish candles with overlapping wicks, forming a demand zone. This structure, due to its rapid balance, usually does not require a revisit and supports further upward movement.
Entry and Exit Levels : If price revisits this zone, percentage markers, particularly 50% and 75%, act as supportive levels, creating ideal entry points for long positions.
Example : In the second image, an example of a Demand Immediate Rebalance is shown, where overlapping bullish candle shadows indicate immediate balance, supporting the continuation of the bullish trend.
🟣 Bearish Structure (Supply Immediate Rebalance)
In a bearish setup, the indicator identifies a Supply Immediate Rebalance when two consecutive bearish candles with overlapping wicks appear. This formation signals an immediate supply zone, suggesting a high probability of trend continuation to the downside, with minimal expectation for price to retrace back to this area.
Zone Identificatio n: Look for two consecutive bearish candles with overlapping shadows. This structure forms a supply area where price is expected to continue its downtrend without revisiting the zone.
Entry and Exit Level s: Should price revisit this zone, percentage-based levels (e.g., 50% and 75%) serve as potential resistance points, optimizing entry for short positions, especially if the downtrend is expected to persist.
Example : The attached chart illustrates a Supply Immediate Rebalance, where overlapping candle shadows define this area, reassuring traders of a continued downward trend with a low likelihood of price returning to this zone.
🔵 Settings
ImmR Filter : This filter allows users to adjust the detection of Immediate Rebalance zones in four modes, from "Very Aggressive" to "Very Defensive," based on zone width. The chosen mode controls the sensitivity of Immediate Rebalance detection, allowing users to fine-tune the indicator to their trading style.
Multi Time Frame : Enabling this option allows users to set the indicator to a specific timeframe (1 minute, 5 minutes, 15 minutes, 30 minutes, 1 hour, 4 hours, daily, weekly, or monthly), broadening the perspective for identifying Immediate Rebalance zones across multiple timeframes.
🔵 Conclusion
The Immediate Rebalance indicator, based on rapid balancing zones within supply and demand areas, serves as a powerful tool for market analysis and improving trade decision-making.
By accurately identifying zones where price achieves instant balance without gaps, the indicator highlights areas likely to support strong trend continuations, exempt from common retracements.
The indicator’s use of percentage levels enables traders to pinpoint optimal entry and exit points more effectively, with levels like 50% and 75% acting as support within demand zones and resistance within supply zones. This empowers traders to ride strong trends without the worry of abrupt reversals.
Overall, the Immediate Rebalance is a reliable tool for both professional and beginner traders seeking precise methods to recognize supply and demand zones, capitalizing on consistent trends.
By choosing appropriate settings and focusing on the zones highlighted by this indicator, traders can enter trades with greater confidence and improve their risk management.
Smart Money Setup 07 [TradingFinder] Liquidity Hunts & Minor OB🔵 Introduction
The Smart Money Concept relies on analyzing market structure, tracking liquidity flows, and identifying order blocks. Research indicates that traders who apply these methods can improve their accuracy in predicting market movements by up to 30%.
These elements allow traders to understand the behavior of market makers, including banks and large financial institutions, which have the ability to influence price movements and shape major market trends. By recognizing how these entities operate, traders can align their strategies with Smart Money actions and better anticipate shifts in the market.
Smart Money typically enters the market at points of high liquidity where trading opportunities are more attractive. By following these liquidity flows, professional traders can position themselves at market reversal points, leading to profitable trades.
The Smart Money Setup 07 indicator has been specifically designed to detect these complex patterns. Using advanced algorithms, this indicator automatically identifies both bullish and bearish trading setups, assisting traders in discovering hidden market opportunities.
As a powerful technical analysis tool, the Smart Money Setup indicator helps predict the actions of major market participants and highlights optimal entry and exit points. Essentially, this tool enables traders to act like institutional investors and market makers, making the most of price fluctuations in their favor.
Ultimately, the Smart Money Setup 07 indicator transforms complex technical analysis into a simple and practical tool. By detecting order blocks and liquidity zones, this tool helps traders execute their strategies with greater precision, leading to more informed and successful trading decisions.
🟣 Bullish Setup
🟣 Bearish Setup
🔵 How to Use
One of the key strengths of the Smart Money Setup 07 indicator is its ability to accurately identify order blocks and analyze liquidity flows. Order blocks represent areas where large buy or sell orders are placed by Smart Money investors, which often indicate key reversal points in the market. Traders can use these order blocks to pinpoint potential entry and exit opportunities.
The Smart Money Setup indicator detects and visually displays these order blocks on the chart, helping traders identify the best zones to enter or exit trades. Since these zones are frequently used by large institutional investors, following these blocks allows traders to capitalize on price fluctuations and trade with confidence.
🟣 Bullish Smart Money Setup
A Bullish Smart Money Setup forms when the market creates Higher Lows and Higher Highs. In this situation, the indicator analyzes pivot points, liquidity flows, and order blocks to identify buy opportunities. Liquidity points in these setups indicate areas where Smart Money is likely to enter long positions.
In the bullish setup image, multiple Higher Lows and Higher Highs are formed. The green zone represents a Bullish Order Block, signaling traders to enter a long trade. The Smart Money Setup indicator displays a green arrow, indicating a high-probability upward price movement from this liquidity zone.
🟣 Bearish Smart Money Setup
A Bearish Smart Money Setup occurs when the market structure shows Lower Highs and Lower Lows, indicating weakness in price. The indicator identifies these patterns and highlights potential sell opportunities. Liquidity points in this setup mark areas where Smart Money enters sell positions.
In the bearish setup image, a Lower High is followed by a Lower Low, with the red liquidity zone acting as a Bearish Order Block. The Smart Money Setup indicator shows a red arrow, signaling a likely downward move, offering traders an opportunity to enter short positions.
🔵 Settings
Pivot Period : This setting determines how many candles are needed to form a pivot point. A default value of 2 is optimal for quickly identifying key pivot points in price action.
Order Block Validity Period : This parameter defines the lifespan of an order block. Traders can adjust how long each order block remains valid. For instance, setting it to 500 means that an order block will be valid for 500 bars after its formation.
Mitigation Level OB : This setting allows traders to select whether order blocks should be based on the "Proximal," "50% OB," or "Distal" levels, helping traders manage risk more effectively.
Order Block Refinement : Traders can refine the order blocks with precision. The indicator offers two refinement modes: Defensive and Aggressive. The Defensive mode identifies safer order blocks, while the Aggressive mode targets higher-risk blocks with the potential for larger reversals.
🔵 Conclusion
The Smart Money Setup 07 indicator is a powerful tool for identifying key Smart Money movements in the market. It provides traders with essential insights for making informed trading decisions, particularly when combined with technical analysis and liquidity flow analysis. This indicator allows traders to accurately pinpoint entry and exit points, helping them maximize profits and minimize risk.
By offering a range of customizable settings, the Smart Money Setup indicator adapts to different trading styles and strategies. Furthermore, its ability to detect order blocks and identify supply and demand zones makes it an indispensable tool for any trader looking to enhance their strategy.
In conclusion, the Smart Money Setup 07 is a crucial tool for traders aiming to optimize their trading performance. By utilizing the concepts of Smart Money in technical analysis, traders can make more precise decisions and take advantage of market fluctuations.
Liquidity Pools [LuxAlgo]The Liquidity Pools indicator identifies and displays estimated liquidity pools on the chart by analyzing high and low wicked price areas, along with the amount, and frequency of visits to each zone.
🔶 USAGE
Liquidity Pools are areas where smaller participants are likely to place stop-limit orders to manage risks at reasonable swing points. These zones attract institutional traders who use the pending orders as liquidity to enter larger positions, aiming to influence price movements. By monitoring these zones, traders can anticipate market movements and potentially benefit from these dynamics.
Beyond general liquidity theory, identifying zones consistently visited by price aids in using them as support and resistance zones. By analyzing these areas, we can assess how effectively participants enter or exit these zones, helping to gauge their importance.
In the screenshots below, we will explore both sides of the same chart in more detail to display how each zone could be viewed from a bullish and bearish perspective.
Bullish Zones Example:
Bearish Zones Example:
🔶 DETAILS
The method behind this indicator focuses on identifying a swing point and tracking future interactions with it. It adaptively identifies high and low "potential zones". These zones are monitored over time; if a zone meets the user-defined criteria, the script marks and displays these zones on the chart.
🔹 Identification
The method to identify Liquidity Pools in this indicator revolves around 3 main parameters. By utilizing these settings, the indicator can be tailored to produce zones that fit the specific strategic needs of each trader.
Zone Identification Parameters
Zone Contact Amount: This setting determines the number of times each zone must be in contact with the price (and bought or sold out of) before being identified by the indicator as a Liquidity Pool.
For example: When a zone is first displayed, it is considered as having been reached 1 time. When the zone is re-tested for the first time, this is considered the 2nd contact, since the price has seen the zone a total of 2 times.
Bars Required Between Each Contact: This is used to rule out (or in) consecutive candles reaching each zone from the calculation, adding a separation length between zone contact points to refine the zones produced.
For example: When set to "2", the first contact point (first re-test) will be ignored by the script if it is not at least 2 bars away from the initial zone proposal point.
Confirmation Bars: After a zone has reached the desired Contact Amount, this setting will cause the script to wait a specified number of bars before identifying a zone. While this might initially seem counterintuitive, by waiting, we are able to watch the market's reaction to the proposed zone and respond accordingly. If the price were to continue through the potential liquidity zone Immediately, it would not be logical to consider this area as a valid Liquidity Pool.
Displayed in this screenshot, you will see the specific points we are looking for in order to identify these zones.
🔹 Display
After a Liquidity Pool is identified, its boundary line is extended to the current price to keep it in view for reference. This extension will continue until the zone is mitigated (price has closed above or below the zone), after which it will stop extending.
Candles can optionally be colored when returning to the most recent Liquidity Pool if it is still unmitigated, and will only color after the zone is displayed on the chart. Because of this, if a candle is colored within a zone, then its color comes from being inside a previously unmitigated zone.
🔹 Volume
Each time a candle overlaps an Unmitigated Zone, a percentage of its volume will be accumulated to the total for each specific zone. The volume total is displayed on the right end of the extended boundary lines.
This volume data could help to determine the importance of specific zones based on the amount of volume traded within.
Note: This volume is fractional to the percentage of candles that are contained within the zone. If a candle is 50% within a zone, The zone will receive 50% of the candle's volume added to its current total.
🔶 SETTINGS
See above for a more detailed explanation of the "Zone Identification" parameters.
Zone Contact Amount: The number of times the price must bounce from this zone before considering it as a liquidity pool.
Bars Required Between Each Contact: The number of bars to wait before checking for another zone contact.
Confirmation Bars: The number of bars to wait before identifying a zone to confirm validity.
Display Volume Labels: Toggles the display for the volume readout for each Liquidity Pool.
Fill Candles Inside Zones: Toggles the display of colored candles within Liquidity Pools.
Risk Matrix [QuantraSystems]Risk Matrix
The Risk Matrix is a sophisticated tool that aggregates a variety of fundamental inputs, primarily external (non-crypto) market data is used to assess investor risk appetite. By combining external macroeconomic factors and proxies for liquidity data with specific signals from the cryptomarket - the Risk Matrix provides a holistic view of market risk conditions. These insights are designed to help traders and investors make informed decisions on when to adopt a risk-on or risk-off approach.
Core Concept
The Risk Matrix functions as a dynamic risk assessment tool that integrates both fundamental and technical market indicators to generate an aggregated Z-score. This score helps traders to identify where the market is in a risk-off or risk-on state, The system provides both binary risk signals and a more nuanced “risk seasonality” mode for deeper analysis.
Key Features
Global Liquidity Aggregate - The Liquidity score is a custom measure of global liquidity, built by combining a variety of traditional financial metrics. These include data from central bank balance sheets, reverse repo operations and credit availability. This data is sourced from organizations such as the U.S. Federal Reserve, the European Central Bank, and the People’s Bank of China. The purpose of this aggregate is to gauge how much liquidity is available in the global financial system - which often correlates with risk sentiment. Rising liquidity tends to boost risk-on appetite, while liquidity contractions signal increased caution (risk-off) in the markets. The data sources used in this global liquidity aggregate include:
- U.S. Commercial Bank Credit data
- Federal Reserve balance sheet and reverse repo operations
- Liquidity from major central banks including the Fed, Bank of Japan, ECB, and PBoC
- Asset performance from major global financial indices such as the S&P 500, TLT, DXY (U.S. Dollar Index), MOVE (bond market volatility), and commodities like gold and oil.
Other key Z-scores (measured individually) - The Risk Matrix also incorporates other major Z-scores that represent different facets of the financial markets:
- Collateral Risk - A measure of US bond volatility, where higher values indicate higher interest rate risk - leading to potential market instability and cautious market behaviors.
- Stablecoin Dominance - The dominance of stablecoins in the crypto markets - which can signal risk aversion the total capital allocated to stables increases relative to other cryptocurrencies.
- US Currency Strength - The U.S. Dollar Index Z-score reflects currency market strength, with higher values typically indicating risk aversion as investors sell more volatile assets and flock to the dollar.
- Trans-pacific Monetary Bias - Signals capital flow and monetary trends that link between the East and West, heavily influencing global risk sentiment.
- Total - A measure of the total cryptocurrency market cap, signaling broader risk sentiment with the crypto market.
Neural Network Synthesis - The NNSYNTH component adds a machine learning inspired layer to the Risk Matrix. This custom indicator synthesizes inputs from various technical indicators (such as RSI, MACD, Bollinger Bands, and others) to generate a composite signal that reflects the health of the cryptomarket. While highly complex in its design, the NNSYNTH ultimately helps detect market shifts early by synthesizing multiple signals into one cohesive output. This score is particularly useful for gauging momentum and identifying potential turning points in market trends. Because the NNSYNTH is a closed source indicator, and it is included here, the Risk Matrix by extension is a closed source indicator.
How it Works
Z-score Aggregation - The Risk Matrix computes a final risk score by aggregating several Z-scores from different asset classes and data sources, all of which contribute proportionally to the overall market risk assessment. Each input is equally weighted - normalization allows for direct comparisons across global liquidity trends, currency fluctuations, bond market volatility and crypto market conditions. Furthermore, this system employs multi-calibration aggregation - where each individual matrix is itself an aggregate of multiple Z-scores derived from various timeframes. This ensures that each matrix captures a distinct average across different time horizons before being combined into the overall Risk Matrix. This layered, multi timeframe approach enhances the precision and robustness of the final Z-score.
Risk-On / Risk-Off Mode - The system’s binary mode provides a clear Risk On and Off signal. This nature of this signal is determined by the behavior of the Z-score relative to the midline, or Standard Deviation Bands, depending on specific conditions:
Risk-On is signaled when the aggregated final Z-score crosses above 0. However, in extreme oversold conditions, Risk-On can trigger early if the upper standard deviation band falls below the zero line. In such cases, the Risk-On signal is triggered when the z-score crosses the upper standard deviation band - without waiting to cross the midline.
Risk-Off is signaled when the final Z-score moves below 0. Similarly, Risk-Off can also be triggered early if the lower standard deviation band rises above the midline. In this instance, Risk-Off is triggered when the Z-score crosses below the lower band.
Risk Seasonality Mode - This mode offers a more gradual transition between risk states, measuring the change in the Z-score to visualize the shifts in risk appetite over time. It's useful for traders seeking to understand broader market cycles and risk phases. The seasonality view breaks down the market into the following phases:
Risk-On - High risk appetite where risk/cyclical markets are generally bullish.
Weakening - Markets showing signs of cooling off, here the higher beta assets tend to sell off first.
Risk-Off - Investors pull back, and bearish sentiment prevails.
Recovery - Signs of bottoming out, potential for market re-entry.
Component Matrices - Each individual Z-score is visualized as part of the component matrices - scaled to a 3 Sigma range. These component matrices allow traders to view how each data source is contributing to the overall risk assessment in real time - offering transparency and granularity.
Visuals and UI
Main Risk Matrix - The aggregated Z-Score is displayed saliently in the main risk matrix. Traders and investors can quickly see what season the Risk Matrix is signaling and adjust their strategies accordingly.
Overview Table - A detailed overview table shows the current confirmed Z-scores for each component, along with values from 2, and 3 bars back. This helps traders spot trends and the rate of change (RoC) between signals, offering additional insights for shorter-term risk management.
Customizability - Users can customize the visual elements of the matrix, including color palettes, table sizes, and positions. This allows for optimal integration into any trader’s existing workspace.
Usage Summary
The Risk Matrix is an incredibly versatile tool. It is especially valuable as a means of achieving a cross-market view of risk, incorporating both crypto-specific and macroeconomic factors. Some key use cases include:
Adjusting Capital Allocation Based on Risk Seasons - Traders can use the Risk Matrix to adjust their capital allocation dynamically. During Risk-On periods, they might increase exposure to long positions, capitalizing on stronger market conditions. Conversely, during Risk-Off periods, traders could reduce or hedge long positions and potentially scale up short positions or move into safer assets.
Complementing Other Trading Systems - The Risk Matrix can work alongside other technical systems to provide context to market moves. For instance, a trend-following strategy might suggest an entry, but the Risk Matrix could be used to verify whether the broader market conditions support this trade. If the Matrix is in a Risk-Off period, a trader might opt for more conservative trade sizes or avoid the trade entirely.
This flexibility allows traders to adjust their strategies and portfolio risk dynamically, enhancing decision making based on broader market conditions - as indicated by external macroeconomic factors, liquidity, and risk sentiment.
Important Note
The Risk Matrix always uses the most up-to-date data available, ensuring analysis reflects the latest market conditions and macroeconomic inputs. In rare cases, governments or financial institutions revise past data - and the Risk Matrix will adjust accordingly. This behavior can only be seen in the Liquidity Matrix. and can affect the final score. While this is uncommon, it highlights the benefit of using a system that adapts in real-time, incorporating the most accurate and current information to enhance decision making processes.
Liquidity VisualizerThe "Liquidity Visualizer" indicator is designed to help traders visualize potential areas of liquidity on a price chart. In trading, liquidity often accumulates around key levels where market participants have placed their stop orders or pending orders. These levels are commonly found at significant highs and lows, where traders tend to set their stop-losses or take-profit orders. The indicator aims to highlight these areas by drawing unbroken lines that extend indefinitely until breached by the price action.
Specifically, this indicator identifies and marks pivot highs and pivot lows, which are price levels where a trend changes direction. When a pivot high or pivot low is formed, it is represented on the chart with a horizontal line that continues to extend until the price touches or surpasses that level. The line remains in place as long as the level remains unbroken, which means there is potential liquidity still resting at that level.
The concept behind this indicator is that liquidity is likely to be resting at unbroken pivot points. These levels are areas where stop-loss orders or pending buy/sell orders may have accumulated, making them attractive zones for large market participants, such as institutions, to target. By visualizing these unbroken levels, traders can gain insight into where liquidity might be concentrated and where potential price reversals or significant movements could occur as liquidity is taken out.
The indicator helps traders make more informed decisions by showing them key price levels that may attract significant market activity. For instance, if a trader sees multiple unbroken pivot high lines above the current price, they might infer that there is a cluster of liquidity in that area, which could lead to a price spike as those levels are breached. Similarly, unbroken pivot lows may indicate areas where downside liquidity is concentrated.
In summary, this indicator acts as a "liquidity visualizer," providing traders with a clear, visual representation of potential liquidity resting at significant pivot points. This information can be valuable for understanding where price might be drawn to, and where large movements might occur as liquidity is targeted and removed by market participants.
Flat Tops/Bottoms aka Devil's MarkThis Pine script indicator is designed to visually depict price inefficiencies, as identified by Flat Top/Bottom Candles (aka Devil's Mark). A Flat Top/Bottom Candle is a scenario where there is an absence of a wick at the top or the bottom of the candle. These represent zones of inefficiency and will frequently act as magnets for price that the market will strive to rebalance in accordance with ICT principles.
Relevance:
Flat Top/Bottom Candles are zones where price delivery didn't provide opportunity for manipulation representing an inefficiency that the market will seek to rebalance. Consequently, these zones can provide good targets for entries in the opposite direction or take profit targets for previous entries in the direction of the Flat Top/Bottom Candle.
How It Works:
The indicator keeps track of all Flat Top/Bottom Candles from the beginning of the available history. It automatically removes all mitigated Flat Top/Bottom Candles, which are situations where the price has gone past the candle without a wick.
Configurability:
You can configure the colors, style & width of the lines used to represent flat top/bottom candles.
What makes this indicator different:
Designed with high performance in mind, to reduce impact on chart render time.
Only keeping the currently valid flat top/bottoms on the chart.
CRT Trades (turtle soup, A-M-D ranges with inside bars)CRT means Candle Range Theory. Every single candle is a range, on every single timeframe. Ranges may be either manipulated - turtle souped or broken - engulfed - closed above/below and retested.
CRT is usually presented as a 3 candle model. However it may consist of more than 3 candles due to inside bars. Inside bar is the candle where high is not higher then previous candle high and low is not lower then previous candle low.
First candle represents accumulation (may consist of more candles - inside bars), second candle represents manipulation (turtle soup) and third candle represents distribution. The abbreviation for that is A-M-D.
In accumulation the range with specific high and low is created. In manipulation (turtle soup) the high or low of the range is manipulated - liquidity taken and price should usually reverse back to the range. In distribution price is reversing back to the opposite side of the range. On higher timeframe it looks like manipulation candle wick is higher/lower than previous range high/low (may consist of 1 or more inside bar candles) but the body must not close above/below previous range high/low. Otherwise it is not manipulation (turtle soup) most likely and price should continue in direction of the candle close. Distribution candle should touch opposite side of range and it is mostly heavy and fast candle.
CRT model can be found on higher timeframe (e.g. 4h) and entries can be found on lower timeframe (e.g. 15m). You always use only lower timeframe on your chart because CRT model on the higher timeframe is shown on the lower one and also you can plan entries on the lower timeframe. You are able to change CRT model higher timeframe in the indicator settings.
There are two types of entries:
simple - wait for manipulation candle to close on higher timeframe (HTF) and then enter on lower timeframe (LTF) above open of the distribution candle on HTF if it is short or on LTF below open of the distribution candle on HTF if it is long. These entries can be done by market order.
advanced - wait for the break of previous range high/low and enter by limit order when price reverses back to the range and retraces to the order block or fair value gap created by the breaker candle.
Stop loss can be placed above/below of the top/bottom created by manipulation candle. First take profit should be placed in 1/2 of the accumulation range and second take profit should be placed at the opposite range of accumulation range.
It is possible to filter only particular accumulation (range) and manipulation (turtle soup) candles depending also on timezone set in the settings. For example on 4h CRT model if you fill input "indices" for section "range" like 1,2 and input "indices" for section "turtle soup" like 3,4 then you are awaiting the range to form during asia session and manipulation during london session if the timezone is somewhere around "UTC+2".
Dotted lines represent turtle soup of previous range and solid lines represent engulfing candle of the breaker candle on lower timeframe. When the engulfing is closed you can look for entries either by market order after closing or by limit order when the price retraces to order block (created by breaker candle) or fair value gap (created by engulfing).
Recommendations for combining lower (entries) and higher (crt model) timeframes:
1D CRT model => 1h entries,
4h CRT model => 15m entries,
1h CRT model => 5m entries,
15m CRT model => 1m entries.
ICT Judas Swing | Flux Charts💎 GENERAL OVERVIEW
Introducing our new ICT Judas Swing Indicator! This indicator is built around the ICT's "Judas Swing" strategy. The strategy looks for a liquidity grab around NY 9:30 session and a Fair Value Gap for entry confirmation. For more information about the process, check the "HOW DOES IT WORK" section.
Features of the new ICT Judas Swing :
Implementation of ICT's Judas Swing Strategy
2 Different TP / SL Methods
Customizable Execution Settings
Customizable Backtesting Dashboard
Alerts for Buy, Sell, TP & SL Signals
📌 HOW DOES IT WORK ?
The strategy begins by identifying the New York session from 9:30 to 9:45 and marking recent liquidity zones. These liquidity zones are determined by locating high and low pivot points: buyside liquidity zones are identified using high pivots that haven't been invalidated, while sellside liquidity zones are found using low pivots. A break of either buyside or sellside liquidity must occur during the 9:30-9:45 session, which is interpreted as a liquidity grab by smart money. The strategy assumes that after this liquidity grab, the price will reverse and move in the opposite direction. For entry confirmation, a fair value gap (FVG) in the opposite direction of the liquidity grab is required. A buyside liquidity grab calls for a bearish FVG, while a sellside grab requires a bullish FVG. Based on the type of FVG—bullish for buys and bearish for sells—the indicator will then generate a Buy or Sell signal.
After the Buy or Sell signal, the indicator immediately draws the take-profit (TP) and stop-loss (SL) targets. The indicator has three different TP & SL modes, explained in the "Settings" section of this write-up.
You can set up alerts for entry and TP & SL signals, and also check the current performance of the indicator and adjust the settings accordingly to the current ticker using the backtesting dashboard.
🚩 UNIQUENESS
This indicator is an all-in-one suit for the ICT's Judas Swing concept. It's capable of plotting the strategy, giving signals, a backtesting dashboard and alerts feature. Different and customizable algorithm modes will help the trader fine-tune the indicator for the asset they are currently trading. Three different TP / SL modes are available to suit your needs. The backtesting dashboard allows you to see how your settings perform in the current ticker. You can also set up alerts to get informed when the strategy is executable for different tickers.
⚙️ SETTINGS
1. General Configuration
Swing Length -> The swing length for pivot detection. Higher settings will result in
FVG Detection Sensitivity -> You may select between Low, Normal, High or Extreme FVG detection sensitivity. This will essentially determine the size of the spotted FVGs, with lower sensitivies resulting in spotting bigger FVGs, and higher sensitivies resulting in spotting all sizes of FVGs.
2. TP / SL
TP / SL Method ->
a) Dynamic: The TP / SL zones will be auto-determined by the algorithm based on the Average True Range (ATR) of the current ticker.
b) Fixed : You can adjust the exact TP / SL ratios from the settings below.
Dynamic Risk -> The risk you're willing to take if "Dynamic" TP / SL Method is selected. Higher risk usually means a better winrate at the cost of losing more if the strategy fails. This setting is has a crucial effect on the performance of the indicator, as different tickers may have different volatility so the indicator may have increased performance when this setting is correctly adjusted.
QuantBuilder | FractalystWhat's the strategy's purpose and functionality?
QuantBuilder is designed for both traders and investors who want to utilize mathematical techniques to develop profitable strategies through backtesting on historical data.
The primary goal is to develop profitable quantitive strategies that not only outperform the underlying asset in terms of returns but also minimize drawdown.
For instance, consider Bitcoin (BTC), which has experienced significant volatility, averaging an estimated 200% annual return over the past decade, with maximum drawdowns exceeding -80%. By employing this strategy with diverse entry and exit techniques, users can potentially seek to enhance their Compound Annual Growth Rate (CAGR) while managing risk to maintain a lower maximum drawdown.
While this strategy employs quantitative techniques, including mathematical methods such as probabilities and positive expected values, it demonstrates exceptional efficacy across all markets. It particularly excels in futures, indices, stocks, cryptocurrencies, and commodities, leveraging their inherent trending behaviors for optimized performance.
In both trending and consolidating market conditions, QuantBuilder employs a combination of multi-timeframe probabilities, expected values, directional biases, moving averages and diverse entry models to identify and capitalize on bullish market movements.
How does the strategy perform for both investors and traders?
The strategy has two main modes, tailored for different market participants: Traders and Investors.
1. Trading:
- Designed for traders looking to capitalize on bullish markets.
- Utilizes a percentage risk per trade to manage risk and optimize returns.
- Suitable for both swing and intraday trading with a focus on probabilities and risk per trade approach.
2. Investing:
- Geared towards investors who aim to capitalize on bullish trending markets without using leverage while mitigating the asset's maximum drawdown.
- Utilizes pre-define percentage of the equity to buy, hold, and manage the asset.
- Focuses on long-term growth and capital appreciation by fully/partially investing in the asset during bullish conditions.
How does the strategy identify market structure? What are the underlying calculations?
The strategy utilizes an efficient logic with for loops to pinpoint the first swing candle featuring a pivot of 2, establishing the point at which the break of structure begins.
What entry criteria are used in this script? What are the underlying calculations?
The script utilizes two entry models: BreakOut and fractal.
Underlying Calculations:
Breakout: The script assigns the most recent swing high to a variable. When the price closes above this level and all other conditions are met, the script executes a breakout entry (conservative approach).
Fractal: The script identifies a swing low with a period of 2. Once this condition is met, the script executes the trade (aggressive approach).
How does the script calculate probabilities? What are the underlying calculations?
The script calculates probabilities by monitoring price interactions with liquidity levels. Here’s how the underlying calculations work:
Tracking Price Hits: The script counts the number of times the price taps into each liquidity side after the EQM level is activated. This data is stored in an array for further analysis.
Sample Size Consideration: The total number of price interactions serves as the sample size for calculating probabilities.
Probability Calculation: For each liquidity side, the script calculates the probability by taking the average of the recorded hits. This allows for a dynamic assessment of the likelihood that a particular side will be hit next, based on historical performance.
Dynamic Adjustment: As new price data comes in, the probabilities are recalculated, providing real-time aduptive insights into market behavior.
Note: The calculations are performed independently for each directional range. A range is considered bearish if the previous breakout was through a sellside liquidity. Conversely, a range is considered bullish if the most recent breakout was through a buyside liquidity.
How does the script calculate expected values? What are the underlying calculations?
The script calculates expected values by leveraging the probabilities of winning and losing trades, along with their respective returns. The process involves the following steps:
This quantitative methodology provides a robust framework for assessing the expected performance of trading strategies based on historical data and backtesting results.
How is the contextual bias calculated? What are the underlying calculations?
The contextual bias in the QuantBuilder script is calculated through a structured approach that assesses market structure based on swing highs and lows. Here’s how it works:
Identification of Swing Points: The script identifies significant swing points using a defined pivot logic, focusing on the first swing high and swing low. This helps establish critical levels for determining market structure.
Break of Structure (BOS) Assessment:
Bullish BOS: The script recognizes a bullish break of structure when a candle closes above the first swing high, followed by at least one swing low.
Bearish BOS: Conversely, a bearish break of structure is identified when a candle closes below the first swing low, followed by at least one swing high.
Bias Assignment: Based on the identified break of structure, the script assigns directional biases:
A bullish bias is assigned if a bullish BOS is confirmed.
A bearish bias is assigned if a bearish BOS is confirmed.
Quantitative Evaluation: Each identified bias is quantitatively evaluated, allowing the script to assign numerical values representing the strength of each bias. This quantification aids in assessing the reliability of market sentiment across multiple timeframes.
What's the purpose of using moving averages in this strategy? What are the underlying calculations?
Using moving averages is a widely-used technique to trade with the trend.
The main purpose of using moving averages in this strategy is to filter out bearish price action and to only take trades when the price is trading ABOVE specified moving averages.
The script uses different types of moving averages with user-adjustable timeframes and periods/lengths, allowing traders to try out different variations to maximize strategy performance and minimize drawdowns.
By applying these calculations, the strategy effectively identifies bullish trends and avoids market conditions that are not conducive to profitable trades.
The MA filter allows traders to choose whether they want a specific moving average above or below another one as their entry condition.
What type of stop-loss identification method are used in this strategy? What are the underlying calculations?
- Initial Stop-loss:
1. ATR Based:
The Average True Range (ATR) is a method used in technical analysis to measure volatility. It is not used to indicate the direction of price but to measure volatility, especially volatility caused by price gaps or limit moves.
Calculation:
- To calculate the ATR, the True Range (TR) first needs to be identified. The TR takes into account the most current period high/low range as well as the previous period close.
The True Range is the largest of the following:
- Current Period High minus Current Period Low
- Absolute Value of Current Period High minus Previous Period Close
- Absolute Value of Current Period Low minus Previous Period Close
- The ATR is then calculated as the moving average of the TR over a specified period. (The default period is 14)
2. ADR Based:
The Average Day Range (ADR) is an indicator that measures the volatility of an asset by showing the average movement of the price between the high and the low over the last several days.
Calculation:
- To calculate the ADR for a particular day:
- Calculate the average of the high prices over a specified number of days.
- Calculate the average of the low prices over the same number of days.
- Find the difference between these average values.
- The default period for calculating the ADR is 14 days. A shorter period may introduce more noise, while a longer period may be slower to react to new market movements.
3. PL Based:
This method places the stop-loss at the low of the previous candle.
If the current entry is based on the hunt entry strategy, the stop-loss will be placed at the low of the candle that wicks through the lower FRMA band.
Example:
If the previous candle's low is 100, then the stop-loss will be set at 100.
This method ensures the stop-loss is placed just below the most recent significant low, providing a logical and immediate level for risk management.
- Trailing Stop-Loss:
One of the key elements of this strategy is its ability to detect structural liquidity and structural invalidation levels across multiple timeframes to trail the stop-loss once the trade is in running profits.
By utilizing this approach, the strategy allows enough room for price to run.
By using these methods, the strategy dynamically adjusts the initial stop-loss based on market volatility, helping to protect against adverse price movements while allowing for enough room for trades to develop.
Each market behaves differently across various timeframes, and it is essential to test different parameters and optimizations to find out which trailing stop-loss method gives you the desired results and performance.
What type of break-even and take profit identification methods are used in this strategy? What are the underlying calculations?
For Break-Even:
Percentage (%) Based:
Moves the initial stop-loss to the entry price when the price reaches a certain percentage above the entry.
Calculation:
Break-even level = Entry Price * (1 + Percentage / 100)
Example:
If the entry price is $100 and the break-even percentage is 5%, the break-even level is $100 * 1.05 = $105.
Risk-to-Reward (RR) Based:
Moves the initial stop-loss to the entry price when the price reaches a certain RR ratio.
Calculation:
Break-even level = Entry Price + (Initial Risk * RR Ratio)
For TP1 (Take Profit 1):
- You can choose to set a take profit level at which your position gets fully closed or 50% if the TP2 boolean is enabled.
- Similar to break-even, you can select either a percentage (%) or risk-to-reward (RR) based take profit level, allowing you to set your TP1 level as a percentage amount above the entry price or based on RR.
For TP2 (Take Profit 2):
- You can choose to set a take profit level at which your position gets fully closed.
- As with break-even and TP1, you can select either a percentage (%) or risk-to-reward (RR) based take profit level, allowing you to set your TP2 level as a percentage amount above the entry price or based on RR.
What's the day filter Filter, what does it do?
The day filter allows users to customize the session time and choose the specific days they want to include in the strategy session. This helps traders tailor their strategies to particular trading sessions or days of the week when they believe the market conditions are more favorable for their trading style.
Customize Session Time:
Users can define the start and end times for the trading session.
This allows the strategy to only consider trades within the specified time window, focusing on periods of higher market activity or preferred trading hours.
Select Days:
Users can select which days of the week to include in the strategy.
This feature is useful for excluding days with historically lower volatility or unfavorable trading conditions (e.g., Mondays or Fridays).
Benefits:
Focus on Optimal Trading Periods:
By customizing session times and days, traders can focus on periods when the market is more likely to present profitable opportunities.
Avoid Unfavorable Conditions:
Excluding specific days or times can help avoid trading during periods of low liquidity or high unpredictability, such as major news events or holidays.
What tables are available in this script?
- Summary: Provides a general overview, displaying key performance parameters such as Net Profit, Profit Factor, Max Drawdown, Average Trade, Closed Trades and more.
Total Commission: Displays the cumulative commissions incurred from all trades executed within the selected backtesting window. This value is derived by summing the commission fees for each trade on your chart.
Average Commission: Represents the average commission per trade, calculated by dividing the Total Commission by the total number of closed trades. This metric is crucial for assessing the impact of trading costs on overall profitability.
Avg Trade: The sum of money gained or lost by the average trade generated by a strategy. Calculated by dividing the Net Profit by the overall number of closed trades. An important value since it must be large enough to cover the commission and slippage costs of trading the strategy and still bring a profit.
MaxDD: Displays the largest drawdown of losses, i.e., the maximum possible loss that the strategy could have incurred among all of the trades it has made. This value is calculated separately for every bar that the strategy spends with an open position.
Profit Factor: The amount of money a trading strategy made for every unit of money it lost (in the selected currency). This value is calculated by dividing gross profits by gross losses.
Avg RR: This is calculated by dividing the average winning trade by the average losing trade. This field is not a very meaningful value by itself because it does not take into account the ratio of the number of winning vs losing trades, and strategies can have different approaches to profitability. A strategy may trade at every possibility in order to capture many small profits, yet have an average losing trade greater than the average winning trade. The higher this value is, the better, but it should be considered together with the percentage of winning trades and the net profit.
Winrate: The percentage of winning trades generated by a strategy. Calculated by dividing the number of winning trades by the total number of closed trades generated by a strategy. Percent profitable is not a very reliable measure by itself. A strategy could have many small winning trades, making the percent profitable high with a small average winning trade, or a few big winning trades accounting for a low percent profitable and a big average winning trade. Most mean-reversion successful strategies have a percent profitability of 40-80% but are profitable due to risk management control.
BE Trades: Number of break-even trades, excluding commission/slippage.
Losing Trades: The total number of losing trades generated by the strategy.
Winning Trades: The total number of winning trades generated by the strategy.
Total Trades: Total number of taken traders visible your charts.
Net Profit: The overall profit or loss (in the selected currency) achieved by the trading strategy in the test period. The value is the sum of all values from the Profit column (on the List of Trades tab), taking into account the sign.
- Monthly: Displays performance data on a month-by-month basis, allowing users to analyze performance trends over each month and year.
- Weekly: Displays performance data on a week-by-week basis, helping users to understand weekly performance variations.
- UI Table: A user-friendly table that allows users to view and save the selected strategy parameters from user inputs. This table enables easy access to key settings and configurations, providing a straightforward solution for saving strategy parameters by simply taking a screenshot with Alt + S or ⌥ + S.
User-input styles and customizations:
To facilitate studying historical data, all conditions and filters can be applied to your charts. By plotting background colors on your charts, you'll be able to identify what worked and what didn't in certain market conditions.
Please note that all background colors in the style are disabled by default to enhance visualization.
How to Use This Quantitive Strategy Builder to Create a Profitable Edge and System?
Choose Your Strategy mode:
- Decide whether you are creating an investing strategy or a trading strategy.
Select a Market:
- Choose a one-sided market such as stocks, indices, or cryptocurrencies.
Historical Data:
- Ensure the historical data covers at least 10 years of price action for robust backtesting.
Timeframe Selection:
- Choose the timeframe you are comfortable trading with. It is strongly recommended to use a timeframe above 15 minutes to minimize the impact of commissions/slippage on your profits.
Set Commission and Slippage:
- Properly set the commission and slippage in the strategy properties according to your broker/prop firm specifications.
Parameter Optimization:
- Use trial and error to test different parameters until you find the performance results you are looking for in the summary table or, preferably, through deep backtesting using the strategy tester.
Trade Count:
- Ensure the number of trades is 200 or more; the higher, the better for statistical significance.
Positive Average Trade:
- Make sure the average trade is above zero.
(An important value since it must be large enough to cover the commission and slippage costs of trading the strategy and still bring a profit.)
Performance Metrics:
- Look for a high profit factor, and net profit with minimum drawdown.
- Ideally, aim for a drawdown under 20-30%, depending on your risk tolerance.
Refinement and Optimization:
- Try out different markets and timeframes.
- Continue working on refining your edge using the available filters and components to further optimize your strategy.
What makes this strategy original?
QuantBuilder stands out due to its unique combination of quantitative techniques and innovative algorithms that leverage historical data for real-time trading decisions. Unlike most algorithmic strategies that work based on predefined rules, this strategy adapts to real-time market probabilities and expected values, enhancing its reliability. Key features include:
Mathematical Framework: The strategy integrates advanced mathematical concepts, such as probabilities and expected values, to assess trade viability and optimize decision-making.
Multi-Timeframe Analysis: By utilizing multi-timeframe probabilities, QuantBuilder provides a comprehensive view of market conditions, enhancing the accuracy of entry and exit points.
Dynamic Market Structure Identification: The script employs a systematic approach to identify market structure changes, utilizing a blend of swing highs and lows to detect contextual/direction bias of the market.
Built-in Trailing Stop Loss: The strategy features a dynamic trailing stop loss based on multi-timeframe analysis of market structure. This allows traders to lock in profits while adapting to changing market conditions, ensuring that exits are executed at optimal levels without prematurely closing positions.
Robust Performance Metrics: With detailed performance tables and visualizations, users can easily evaluate strategy effectiveness and adjust parameters based on historical performance.
Adaptability: The strategy is designed to work across various markets and timeframes, making it versatile for different trading styles and objectives.
Suitability for Investors and Traders: QuantBuilder is ideal for both investors and traders looking to rely on mathematically proven data to create profitable strategies, ensuring that decisions are grounded in quantitative analysis.
These original elements combine to create a powerful tool that can help both traders and investors to build and refine profitable strategies based on algorithmic quantitative analysis.
Terms and Conditions | Disclaimer
Our charting tools are provided for informational and educational purposes only and should not be construed as financial, investment, or trading advice. They are not intended to forecast market movements or offer specific recommendations. Users should understand that past performance does not guarantee future results and should not base financial decisions solely on historical data.
Built-in components, features, and functionalities of our charting tools are the intellectual property of @Fractalyst Unauthorized use, reproduction, or distribution of these proprietary elements is prohibited.
By continuing to use our charting tools, the user acknowledges and accepts the Terms and Conditions outlined in this legal disclaimer and agrees to respect our intellectual property rights and comply with all applicable laws and regulations.
itradesize /\ Previous Liquidity x ICTI’d like to introduce a clean and simple RTH gap and liquidity levels indicator with additional Asian and London ranges, along with standard deviation levels and many customizable options.
Previous D/W/M highs and lows are areas where liquidity tends to accumulate. This is because many traders place stop-loss orders around these levels, creating a concentration of buy stops above the previous day's high and sell stops below the previous day's low. High-frequency trading algorithms and institutional traders often target these areas to capture liquidity.
What the indicator could show in summary?
- Regular trading hours gap with deviations
- Asia with deviations (lines or boxes)
- London with deviations (lines or boxes)
- Weekdays on chart
- 3 AM candle marker
- Previous D/W/M levels
- Important opening times (08:00, 09:30, 10:00, 14:00, 00:00, 18:00)
- Daily separators
By marking out the previous day's highs and lows, traders can create a framework for their trading day. This helps in identifying potential setups and understanding where significant price action might occur. It also aids in filtering out noise and focusing on the most relevant price levels.
These levels can also act as potential reversal points. When the market reaches a previous high or low, it might reverse direction, especially if it has raided the liquidity resting there. This concept is part of a strategy where traders look for the market to raid these levels and then reverse, providing trading opportunities
The indicator shows previous liquidity levels on a daily, weekly, and monthly basis. It also displays opening times at 8:30, 9:30-10:00, 14:00-00:00, and 18:00. Opening times are crucial in trading because they help define specific periods when market activity is expected to be higher, which can lead to better trading opportunities. The script has been made mostly for indices.
You can create various entry and exit strategies based on the indicator. Please remember, that adequate knowledge of ICT is necessary for this to be beneficial.
You might wonder why only these times are shown. This is because these are the times when the futures market is active or should be active. It's important to note that opening times can vary between different asset classes.
18:00 A new daily candle open
00:00 Midnight open
02:00 New 4-hour candle open
08:30 High-impact news
09:30 NY Equities open
10:00 New 4-hour candle open
The concept of "Asian Killzone Standard Deviations" involves using the Asian trading session's price range to project potential price movements during subsequent trading sessions, such as the London or New York sessions. This is done by calculating standard deviations from the Asian range, which can help traders identify potential support and resistance levels.
You can create a complete model by exclusively focusing on the Asian time zone. Deviations within this zone may have varying impacts on future price movements, and the Interbank Price Delivery Agreement (IPDA) often reflects Asia's high, close, and low prices.
A similar approach can be taken with the London time zone. The standard deviation levels within each zone could potentially serve as support or indicate reversals, including liquidity hunts. It's important to backtest these ideas to gain reliable insights into when and where to apply them.
* Asian Range: This is the price range established during the Asian trading session. It serves as a reference point for calculating standard deviations.
* London Range: The same applies to the London range as well. Combine standard deviation projections with other technical analysis tools, such as order blocks or fair value gaps, to enhance accuracy.
* Standard Deviations: These are statistical measures that indicate the amount of variation or dispersion from the average. In trading, they are used to project potential price levels beyond the current range.
You can also use regular trading hours gap as a standalone model. The 4 STDV and 2.5 STDV levels are important for determining the high or low of the current price action.
The RTH gap is created when there is a difference between the closing price of a market at the end of one trading day and the opening price at the start of the next trading day. This gap can be upward (gap higher), downward (gap lower), or unchanged. It is significant because it often indicates market sentiment and can create inefficiencies that traders look to exploit.
Alternatively, you can combine these elements to create a complete strategy for different scenarios.
Pure Price Action ICT Tools [LuxAlgo]The Pure Price Action ICT Tools indicator is designed for pure price action analysis, automatically identifying real-time market structures, liquidity levels, order & breaker blocks, and liquidity voids.
Its unique feature lies in its exclusive reliance on price patterns, without being constrained by any user-defined inputs, ensuring a robust and objective analysis of market dynamics.
🔶 MARKET STRUCTURES
A Market Structure Shift, also known as a Change of Character (CHoCH), is a pivotal event in price action analysis indicating a potential change in market sentiment or direction. An MSS occurs when the price reverses from an established trend, signaling that the prevailing trend may be losing momentum and a reversal might be underway. This shift is often identified by key technical patterns, such as a higher low in a downtrend or a lower high in an uptrend, which indicate a weakening of the current trend's strength.
A Break of Structure typically indicates the continuation of the current market trend. This event occurs when the price decisively moves beyond a previous swing high or low, confirming the strength of the prevailing trend. In an uptrend, a BOS is marked by the price breaking above a previous high, while in a downtrend, it is identified by the price breaking below a previous low.
While a Market Structure Shift (MSS) can indicate a potential trend reversal and a Break of Structure (BOS) often confirms trend continuation, they do not assure a complete reversal or continuation. MSS and BOS levels can also function as liquidity zones or areas of price consolidation rather than definitively signaling a change in market direction. Traders should approach these signals cautiously and validate them with additional factors before making trading decisions. For further details on other components of the tool, please refer to the following sections.
🔶 ORDER & BREAKER BLOCKS
Order and Breaker Blocks are key concepts in price action analysis that help traders identify significant levels in the market structure.
Order Blocks are specific price zones where significant buying or selling activity has occurred. These zones often represent the actions of large institutional traders or market makers, who execute substantial orders that impact the market.
Breaker Blocks are specific price zones where a strong reversal occurs, causing a break in the prevailing market structure. These blocks indicate areas where the price encountered significant resistance or support, leading to a reversal.
In summary, Order and Breaker Blocks are essential tools in price action analysis, providing insights into significant market levels influenced by institutional trading activities. These blocks help traders make informed decisions about potential support and resistance levels, trend reversals, and breakout confirmations.
🔶 BUYSIDE & SELLSIDE LIQUIDITY
Both buy-side and sell-side liquidity zones are critical for identifying potential turning points in the market. These zones are where significant buying or selling interest is concentrated, influencing future price movements.
In summary, buy-side and sell-side liquidity provide crucial insights into market demand and supply dynamics, helping traders make informed decisions based on the availability of orders at different price levels.
🔶 LIQUIDITY VOIDS
Liquidity voids are gaps or areas on a price chart where there is a lack of trading activity. These voids represent zones with minimal to no buy or sell orders, often resulting in sharp price movements when the market enters these areas.
In summary, liquidity voids are crucial areas on a price chart characterized by a lack of trading activity. These voids can lead to rapid price movements and increased volatility, making them essential considerations for traders in their analysis and decision-making processes.
🔶 SWING POINTS
Reversal price points are commonly referred to as swing points. Traders often analyze historical swing points to discern market trends and pinpoint potential trade entry and exit points.
Do note that in this script these are subject to backpainting, that is they are not located where they are detected.
The detection of swing points and the unique feature of this script rely exclusively on price action, eliminating the need for numerical user-defined settings. The process begins with detecting short-term swing points:
Short-Term Swing High (STH): Identified as a price peak surrounded by lower highs on both sides.
Short-Term Swing Low (STL): Recognized as a price trough surrounded by higher lows on both sides.
Intermediate-term and long-term swing points are detected using the same approach but with a slight modification. Instead of directly analyzing price candles, previously detected short-term swing points are utilized. For intermediate-term swing points, short-term swing points are analyzed, while for long-term swing points, intermediate-term ones are used.
This method ensures a robust and objective analysis of market dynamics, offering traders reliable insights into market structures. Detected swing points serve as the foundation for identifying market structures, buy-side/sell-side liquidity levels, and order and breaker blocks presented with this tool.
In summary, swing points are essential elements in technical analysis, helping traders identify trends, support, and resistance levels, and optimal entry and exit points. Understanding swing points allows traders to make informed decisions based on the natural price movements in the market.
🔶 SETTINGS
🔹 Market Structures
Market Structures: Toggles the visibility of the market structures, both shifts and breaks.
Detection: An option that allows users to detect market structures based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Market Structure Labels: Controls the visibility of labels that highlight the type of market structure.
Line Style: Customizes the style of the lines representing the market structure.
🔹 Order & Breaker Blocks
Order & Breaker Blocks: Toggles the visibility of the order & breaker blocks.
Detection: An option that allows users to detect order & breaker blocks based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Last Bullish Blocks: Number of the most recent bullish order/breaker blocks to display on the chart.
Last Bearish Blocks: Number of the most recent bearish order/breaker blocks to display on the chart.
Use Candle Body: Allows users to use candle bodies as order block areas instead of the full candle range.
🔹 Buyside & Sellside Liquidity
Buyside & Sellside Liquidity: Toggles the visibility of the buyside & sellside liquidity levels.
Detection: An option that allows users to detect buy-side & sell-side liquidity based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Margin: Sets margin/sensitivity for a liquidity level detection.
Visible Levels: Controls the amount of the liquidity levels/zones to be visualized.
🔹 Liquidity Voids
Liquidity Voids: Enable display of both bullish and bearish liquidity voids.
Threshold Multiplier: Defines the multiplier for the threshold, which is hard-coded to the 200-period ATR range.
Mode: Controls the lookback length for detection and visualization. Present considers the last X bars specified in the option, while Historical includes all available data.
Label: Enable display of a label indicating liquidity voids.
🔹 Swing Highs/Lows
Swing Highs/Lows: Toggles the visibility of the swing levels.
Detection: An option that allows users to detect swing levels based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Label Size: Control the size of swing level labels.
🔶 RELATED SCRIPTS
Pure-Price-Action-Structures.
Market-Structures-(Intrabar).
Buyside-Sellside-Liquidity.
Order-Breaker-Blocks.
Liquidity strategy tester [Influxum]This tool is based on the concept of liquidity. It includes 10 methods for identifying liquidity in the market. Although this tool is presented as a strategy, we see it more as a data-gathering instrument.
Warning: This indicator/strategy is not intended to generate profitable strategies. It is designed to identify potential market advantages and help with identifying effective entry points to capitalize on those advantages.
Once again, we have advanced the methods of effectively searching for liquidity in the market. With strategies, defined by various entry methods and risk management, you can find your edge in the market. This tool is backed by thorough testing and development, and we plan to continue improving it.
In its current form, it can also be used to test well-known ICT or Smart Money concepts. Using various methods, you can define market structure and identify areas where liquidity is located.
Fair Value Gaps - one of the entry signal options is fair value gaps, where an imbalance between buyers and sellers in the market can be expected.
Time and Price Theory - you can test this by setting liquidity from a specific session and testing entries as that liquidity is grabbed
Judas Swing - can be tested as a market reversal after a breakout during the first hours of trading.
Power of Three - accumulation can be observed as the market moving within a certain range, identified as cluster liquidity in our tool, manipulation occurs with the break of liquidity, and distribution is the direction of the entry.
🟪 Methods of Identifying Liquidity
Pivot Liquidity
This refers to liquidity formed by local extremes – the highest or lowest prices reached in the market over a certain period. The period is defined by a pivot number and determines how many candles before and after the high/low were higher/lower. Simply put, the pivot number represents the number of adjacent candles to the left and right, with a lower high for a pivot high and a higher low for a pivot low. The higher the number, the more significant the high/low is. Behind these local market extremes, we expect to find orders waiting for breakout as well as stop-losses.
Gann Swing
Similar to pivot liquidity, Gann swing identifies significant market points. However, instead of candle highs and lows, it focuses on the closing prices. A Gann swing is formed when a candle closes above (or below) several previous closes (the number is again defined by a strength parameter).
Percentage Change
Apart from ticks, percentages are also a key unit of market movement. In the search for liquidity, we monitor when a local high or low is formed. For liquidity defined by percentage change, a high must be a certain percentage higher than the last low to confirm a significant high. Similarly, a low must be a defined percentage away from the last significant high to confirm a new low. With the right percentage settings, you can eliminate market noise.
Session Range (3x)
Session range is a popular concept for finding liquidity, especially in smart money concepts (SMC). You can set up liquidity visualization for the Asian, London, or New York sessions – or even all three at once. This tool allows you to work with up to three sessions, so you can easily track how and if the market reacts to liquidity grabs during these sessions.
Tip for traders: If you want to see the reaction to liquidity grab during a specific session at a certain time (e.g., the well-known killzone), you can set the Trading session in this tool to the exact time where you want to look for potential entries.
Unfinished Auction
Based on order flow theory, an unfinished auction occurs when the market reverses sharply without filling all pending orders. In price action terms, this can be seen as two candles at a local high or low with very similar or identical highs/lows. The maximum difference between these values is defined as Tolerance, with the default setting being 3 ticks. This setting is particularly useful for filtering out noise during slower market periods, like the Asian session.
Double Tops and Bottoms
A very popular concept not only from smart money concepts but also among price pattern traders is the double bottom and double top. This occurs when the market stops and reverses at a certain price twice in a row. In the tool, you can set how many candles apart these bottoms/tops can be by adjusting the Length parameter. According to some theories, double bottoms are more effective when there is a significant peak between the two bottoms. You can set this in the tool as the Swing value, which defines how large the movement (expressed in ticks) must be between the two peaks/bottoms. The final parameter you can adjust is Tolerance, which defines the possible price difference between the two peaks/bottoms, also expressed in ticks.
Range or Cluster Liquidity
When the market stays within a certain price range, there’s a chance that breakout orders and stop-losses are accumulating outside of this range. Our tool defines ranges in two ways:
Candle balance calculates the average price within a candle (open, high, low, and close), and it defines consolidation when the centers of candles are within a certain distance from each other.
Overlap confirms consolidation when a candle overlaps with the previous one by a set percentage.
Daily, Weekly, and Monthly Highs or Lows
These options simply define liquidity as the previous day’s, week’s, or month’s highs or lows.
Visual Settings
You can easily adjust how liquidity is displayed on the chart, choosing line style, color, and thickness. To display only uncollected liquidity, select "Delete grabbed liquidity."
Liquidity Duration
This setting allows you to control how long liquidity areas remain valid. You can cancel liquidity at the end of the day, the second day, or after a specific number of candles.
🟪 Strategy
Now we come to the part of working with strategies.
Max # of bars after liquidity grab – This parameter allows you to define how many candles you can search for entry signals from the moment liquidity is grabbed. If you are using engulfing as an entry signal, which consists of 2 candles, keep in mind that this number must be at least 2. In general, if you want to test a quick and sharp reaction, set this number as low as possible. If you want to wait for a structural change after the liquidity grab, which may require more candles, set the number a bit higher.
🟪 Strategy - entries
In this section, we define the signals or situations where we can enter the market after liquidity has been taken out.
Liquidity grab - This setup triggers a trade immediately after liquidity is grabbed, meaning the trade opens as the next candle forms.
Close below, close above - This refers to situations where the price closes below liquidity, but then reverses and closes above liquidity again, suggesting the liquidity grab was a false breakout.
Over bar - This occurs when the entire candle (high and low) passes beyond the liquidity level but then experiences a pullback.
Engulfing - A popular price action pattern that is included in this tool.
2HL - weak, medium, strong - A variation of a popular candlestick pattern.
Strong bar - A strong reactionary candle that forms after a liquidity grab. If liquidity is grabbed at a low, this would be a strong long candle that closes near its high and is significantly larger compared to typical volatility.
Naked bar - A candlestick pattern we’ve tested that serves as a good confirmation of market movement.
FVG (Fair Value Gap) - A currently popular concept. This is the only signal with additional settings. “Pending FVG order valid” means if a fair value gap forms after a liquidity grab, a limit order is placed, which remains valid for a set number of candles. “FVG minimal tick size” allows you to filter based on the gap size, measured in ticks. “GAP entry model” lets you decide whether to place the limit order at the gap close or its edge.
🟪 Strategy - General
Long, short - You can choose whether to focus on long or short trades. It’s interesting to see how long and short trades yield different results across various markets.
Pyramiding - By default, the tool opens only one trade at a time. If a new signal arises while a trade is open, it won’t enter another position unless the pyramiding box is checked. You also need to set the maximum number of open trades in the Properties.
Position size - Simply set the size of the traded position.
🟪 Strategy - Time
In this section, you can set time parameters for the strategy being tested.
Test since year - As the name implies, you can limit the testing to start from a specific year.
Trading session - Define the trading session during which you want to test entries. You can also visualize the background (BG) for confirmation.
Exclude session - You can set a session period during which you prefer not to search for trades. For example, when the New York session opens, volatility can sharply increase, potentially reducing the long-term success rate of the tested setup.
🟪 Strategy - Exits
This section lets you define risk management rules.
PT & SL - Set the profit target (PT) and stop loss (SL) here.
Lowest/highest since grab - This option sets the stop loss at the lowest point after a liquidity grab at a low or at the highest point after a liquidity grab at a high. Since markets usually overshoot during liquidity grabs, it’s good practice to place the stop loss at the furthest point after the grab. You can also set your risk-reward ratio (RRR) here. A value of 1 sets an RRR of 1:1, 2 means 2:1, and so on.
Lowest/highest last # bars - Similar to the previous option, but instead of finding the extreme after a liquidity grab, it identifies the furthest point within the last number of candles. You can set how far back to look using the # bars field (for an engulfing pattern, 2 is optimal since it’s made of two candles, and the stop loss can be placed at the edge of the engulfing pattern). The RRR setting works the same way as in the previous option.
Other side liquidity grab - If this option is checked, the trade will exit when liquidity is grabbed on the opposite side (i.e., if you entered on a liquidity grab at a low, the trade will exit when liquidity is grabbed at a high).
Exit after # bars - A popular exit strategy where you close the position after a set number of candles.
Exit after # bars in profit - This option exits the trade once the position is profitable for a certain number of consecutive candles. For example, if set to 5, the position will close when 5 consecutive candles are profitable. You can also set a maximum number of candles (in the max field), ensuring the trade is closed after a certain time even if the profit condition hasn’t been met.
🟪 Alerts
Alerts are a key tool for traders to ensure they don’t miss trading opportunities. They also allow traders to manage their time effectively. Who would want to sit in front of the computer all day waiting for a trading opportunity when they could be attending to other matters? In our tool, you currently have two options for receiving alerts:
Liquidity grabs alert – if you enable this feature and set an alert, the alert will be triggered every time a candle on the current timeframe closes and intersects with the displayed liquidity line.
Entry signals alert – this feature triggers an alert when a signal for entry is generated based on the option you’ve selected in the Entry type. It’s an ideal way to be notified only when a trading opportunity appears according to your predefined rules.
[DarkTrader] Swing OrderflowSwing Orderflow is a indicator that helps traders detect key swing highs and lows in price action. It is designed to enhance your charting experience by highlighting important support and resistance levels while providing clear visual cues on market structure changes. By tracking swing pivots and price trends, this indicator enables traders to make more informed decisions regarding potential entry and exit points in the market.
This indicator is inspired by @Fractalyst Indicator :
The core functionality of the script revolves around detecting swing highs and lows based on a customizable swing period. It identifies these pivots by comparing price movements over a specific time window, marking the points where price either peaks or bottoms out. Swing highs are plotted as resistance levels when the price breaks above a certain threshold, while swing lows are plotted as support levels when price breaks below it. These key points are represented with dotted lines and labels on the chart for easy reference.
Indicator In Use :
Swing High Calculation
A swing high occurs when the high of a specific bar (or candle) is greater than the highs of the surrounding bars within a defined range (called the swing period).
Function used to find the highest price within a specified range : ta.highest(period)
If the current price is greater than the highest price of this period, it's marked as a potential swing high.
A swing high generally represents a resistance level, where the price has reached a peak before declining.
Swing Low Calculation
A swing low occurs when the low of a specific bar is lower than the lows of the surrounding bars within the swing period.
Function used to find the lowest price within a specified range : ta.lowest(period)
If the current price is lower than this lowest price, it's identified as a swing low.
Swing lows represent support levels, where the price reaches a bottom before bouncing back.
These points are plotted on the chart, and the script also tracks whether price breaks above the swing high or below the swing low to determine trends or possible reversals.
BSL (Buy Side Liquidity)
BSL represents the Buy Side Liquidity, where traders are expected to have their buy orders (usually stop-loss orders for short positions).
When the price reaches a swing high, traders who are short may have stop orders placed above this level. Once these levels are breached, the script identifies this as a liquidity area where stop orders get triggered, causing potential upward price movement.
The script marks the swing high with a "BSL" label and line to indicate this key resistance and liquidity zone.
SSL (Sell Side Liquidity)
SSL refers to the Sell Side Liquidity, where traders place sell orders (usually stop-loss orders for long positions).
Swing lows are important levels where traders holding long positions place their stop orders. When the price drops below a swing low, it triggers these sell orders, causing potential downward price movement.
The script marks the swing low with an "SSL" label and line, signaling this key support and liquidity zone.
In essence, BSL and SSL represent areas where liquidity is pooled, making them critical points in price action. These liquidity areas, when breached, often lead to aggressive price moves, allowing traders to anticipate trends.
[DarkTrader] Liquidity Regression MapLinear Regression Function Reference by @RicardoSantos :
Liquidity Regression Map is an advanced indicator designed to assist traders in identifying key liquidity zones, reversals, and potential breakout areas within the market. By visualizing liquidity shifts and regression patterns, this tool provides a powerful visual guide to price movements that often go unnoticed by conventional indicators. The indicator's dynamic and adaptive approach helps traders better navigate complex market environments.
Purpose :
This indicator focuses on analyzing the behavior of liquidity in the market and mapping it out in a visual format on your TradingView charts. It provides a deeper understanding of where large clusters of liquidity exist, helping traders pinpoint potential areas where price is likely to react. It aims to highlight key liquidity zones and assess when price is likely to reverse or continue its trend, providing a comprehensive view of the market's internal structure.
Liquidity Regression Map supports multiple timeframes and multiple assets, providing traders with flexibility to analyze different market conditions. Whether you're analyzing short-term charts for scalping or higher timeframes for swing trades, the indicator adjusts its liquidity and regression calculations accordingly, ensuring accurate insights across all timeframes. Additionally, it is compatible with various asset classes, including stocks, forex, cryptocurrencies, and commodities, allowing you to apply the same powerful liquidity analysis across multiple markets for a unified trading strategy.
How It Works :
The indicator identifies liquidity zones by looking at the highs and lows of recent price action within a user-defined period, known as the lookback period. These zones represent areas where market participants are likely to have placed a significant number of stop orders or large positions, creating pockets of liquidity. The zones are visualized as levels on the chart, showing where the market is likely to react.
Next, the indicator performs a linear regression analysis on the price data. Linear regression helps smooth out the price action and gives an indication of the overall trend within the defined liquidity zone. This analysis is critical for determining the slope and direction of price movement, which provides insights into the market's momentum and strength in these liquidity areas.
A key feature of this indicator is its ability to detect liquidity swipes—sharp moves in price that sweep liquidity levels. When price approaches a liquidity zone and crosses it aggressively, the indicator highlights this as a swipe. Swipes often signal significant price reversals or trend continuation because they indicate that liquidity has been absorbed. The Akastra Liquidity Regression Map highlights these areas, helping traders anticipate where a reversal or continuation may occur.
As new price data comes in, the liquidity zones and regression lines dynamically adjust. This real-time update ensures that traders are always working with the most relevant and up-to-date liquidity information. The indicator recalculates the liquidity levels based on the recent highs and lows and repositions the regression lines accordingly. This makes it adaptive to both short-term volatility and long-term trends.
To make the analysis intuitive and easy to interpret, the liquidity levels are color-coded based on their strength and importance. Liquidity zones are shown using a gradient of colors, from weak liquidity (indicating potential minor reactions) to strong liquidity (where a significant price reaction is more likely). The heatmap visually communicates how liquidity is distributed across different levels and timeframes.
Liquidity Condition Filtering :
Another important aspect of the mechanism is the liquidity condition filtering, which only highlights significant liquidity shifts. The indicator evaluates if price movement meets certain thresholds, such as exceeding a 1.618 threshold for liquidity absorption or rejection . This filtering ensures that only the most relevant and impactful liquidity conditions are displayed, minimizing noise and false signals on the chart.
Finally, the indicator calculates and displays liquidity levels across multiple timeframes simultaneously, providing a more comprehensive view. For example, liquidity from a higher timeframe may interact with liquidity from a lower timeframe, providing traders with an overlapping view of where significant liquidity is concentrated. This multi-layer analysis helps to confirm trading setups and increases the probability of successful trades.
Matrix Glitch | FractalystThe Matrix Glitch indicator is a visually engaging tool for traders, inspired by the iconic Matrix movie effects. It overlays price charts with dynamic, multi-colored glitches that sync with market data, creating a striking, almost surreal visual experience.
The indicator uses characters from various languages (e.g., Japanese, Chinese, Russian, English) to mimic the digital rain effect from the movies. Users can select a language, which activates a corresponding array of characters. These characters are randomly picked from the chosen array and displayed on the chart.
Underlying Calculations and Logic
Arrays in the Indicator
1- Character Management:
The script uses arrays to store sets of characters representing different symbols or alphabets. These arrays allow the indicator to dynamically select and update characters for display. Each element in these arrays corresponds to a specific character that will be used to populate the grid.
2- Current and Previous States:
Arrays are employed to keep track of the current state of characters that are displayed on the grid. Simultaneously, another set of arrays records the previous state of these characters. This dual-state management allows the script to smoothly transition between updates, handling changes in characters and visual effects like fading.
3- Transparency Control:
Transparency levels for each character in the grid are managed through arrays. These arrays store the opacity values, ensuring that each character has the appropriate level of transparency. By comparing the current and previous transparency states, the script can create effects like gradual fading or intensifying visibility.
4- Rain Effect Simulation:
To create the "rain" effect, the script maintains arrays that simulate the falling text by continuously updating the position and visibility of characters. As new characters enter the top of the grid, older ones are removed from the bottom, with their transparency levels adjusted to simulate movement.
5- Operational Flow:
Initialization : Arrays are initialized to manage both the characters and their transparency. This setup allows the script to handle the dynamic display efficiently.
Updates : During each cycle, new characters are selected and old characters are shifted accordingly. The arrays ensure that both the content and appearance of the grid are updated seamlessly.
Rendering : The arrays dictate how characters and their transparency are rendered on the grid, ensuring a cohesive and visually appealing effect.
Here's how to use the indicator step-by-step:
1- Apply the Indicator to Your Charts:
Begin by adding the indicator to your chart. This will activate the visual effect on your selected trading instrument or time frame.
Select Your Preferred Language of the Matrix Characters:
In the settings, choose the language or symbol set you want the matrix characters to display. This could be anything from traditional matrix-style characters to different alphabets or custom symbols.
2- Choose the Matrix Effect (Rain, Burst):
Decide on the type of visual effect you prefer. You can select from options like the classic "rain" effect, where characters fall from the top of the screen, or a "burst" effect, where characters explode outward or appear in a different dynamic pattern.
3- Adjust the Color According to Your Preference:
Customize the color of the matrix characters to suit your aesthetic or chart theme. You can select from a range of colors or even set up a gradient for more complex visual effects.
4- Adjust the Width and Height of the Matrix According to Your Screen:
Fine-tune the dimensions of the matrix display. Set the width and height so that the matrix fits perfectly on your screen, ensuring that it aligns well with other chart elements and doesn't obstruct your view.
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What Makes the Matrix Glitch Indicator Unique?
Language Selection:
Customizable Language: Unlike many indicators that might offer static or limited visual elements, the Matrix Glitch Indicator allows users to choose from a variety of languages for the characters displayed. This feature not only personalizes the user experience but also adds a cultural or linguistic element to trading charts. Users can select languages like Japanese, Chinese, Russian, or English, and many more.
This flexibility ensures that traders from different backgrounds can feel a connection with their charts through familiar or exotic scripts.
Dynamic Effects:
Effect Modes: The indicator offers two distinct modes - Rain Mode and Burst Mode. In Rain Mode, characters fall from the top of the chart, mimicking the iconic digital rain from the Matrix films.
In Burst Mode, characters radiate outward from a central point, creating a unique visual effect that can be synchronized with market volatility.
This dual-mode functionality allows traders to choose how they want their data to be visually represented, providing both aesthetic variety and potentially different insights into market behavior.
Color Customization:
Full Color Control: The ability to fully customize the color of the characters is a standout feature. Traders can match the indicator's colors to their trading platform's theme, their mood, or even specific market conditions (e.g., red for downturns, green for upturns). This level of customization not only aids in creating a personalized trading environment but can also serve as a visual cue for different market states.
Universal Display Compatibility:
Adjustability for All Displays: The indicator is designed to be fully adjustable for various screen resolutions and sizes. This ensures that whether you're trading on a high-resolution monitor, a laptop, or even a mobile device, the Matrix Glitch effect remains clear and impactful without compromising on the functionality of the trading chart. This adaptability is crucial in an era where trading can happen anywhere, making the indicator a versatile tool for traders on the go or in a static setup.
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Terms and Conditions | Disclaimer
Our charting tools are provided for informational and educational purposes only and should not be construed as financial, investment, or trading advice. They are not intended to forecast market movements or offer specific recommendations. Users should understand that past performance does not guarantee future results and should not base financial decisions solely on historical data.
Built-in components, features, and functionalities of our charting tools are the intellectual property of @Fractalyst use, reproduction, or distribution of these proprietary elements is prohibited.
By continuing to use our charting tools, the user acknowledges and accepts the Terms and Conditions outlined in this legal disclaimer and agrees to respect our intellectual property rights and comply with all applicable laws and regulations.
