The script is designed to illustrate the sweeps of the high and low of the previous day and week. The larger the ratio of shares traded to the percentage price change, the more deep and liquid the market is presumed to be, therefore the market maker always seeks liquidity. Liquidity rests above previous highs and below previous lows as many traders see these as obvious points to place their stops. These are areas on the chart where many orders are placed together and serve as tipping points for market makers. The script focuses on the previous day and week. We can assume these are potential areas for mitigation.
How to use:
The indicator plots the highs and lows of the previous day and week. On default, it also shows the high and low price for the first 8 hours of the opening day of the week. Users can customise this in settings. The weekly open is also plotted. The background changes colour once a daily/weekly high or low has been breached and stops at the extreme point of price. These areas may provide points of interest in the future.
A good understanding of supply and demand, order blocks, market structure, and how to identify fresh levels is expected to utilise it's full potential.
I congratulate you again for this magnificent work but I would like to know is possible to have the script? Or how do I get it?
geneclash
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@planete_trade, hello, just search for it in indicators. If you're asking about a copy of the code, it's protected, so not giving it out
cakencandlez
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Just wondering how would you guys use this in your analysis. Are you guys just using the sweep zones as a POI ?
geneclash
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@cakencandlez, All relative, depends on how traders interpret it with their own theories. I don't use it personally
oscarstve
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Hello, @geneclash. This script seems great but when I change to GMT-4, nothing changes. Does this only happen to me? Thank you.
geneclash
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@oscarstve, hey, so the timezone function only customizes the range of the high and low price of Monday. The daily and weekly levels are fixed to (UTC)
petrsurf
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@geneclash, Hi any chance you would be in the future implementing the daily and weekly levels being GMT-4 ? by BTW great script .