[0:01]liquidity sweep, inverse fair value gap, target swing lows. liquidity sweep, inverse fair value gap, target swing highs and so fucking easy.
[0:14]liquidity sweep, inverse fair value gap, target swing lows, and. Okay. So liquidity sweep in either direction, inverse fair value gap, target swing lows.
[0:24]I think we've gone over this before. All right, he's using multiple time frames. Actually, they're very close to each other. So let's actually build a tool that's going to identify liquidity sweeps, inverse fair value gaps, and then also swing highs and lows.
[0:35]First thing I'm going to do is go over to Lux algo.com/quant and going to ask, I want to build a simple indicator.
[0:43]Okay, so the first thing we wanted to look for was liquidity sweeps. We actually have an insane liquidity sweep indicator. I'm just going to say use the Lux algo liquidity sweep indicator, and then plot fair value gaps.
[0:52]I'm going to send that to Quant, let it build. All right, so we have our liquidity sweep and IFBG indicator built by Quant.
[0:58]You can see the IBFGs and then using the liquidity sweep indicator, you can see the highlights of those sweeps. Now what I'm going to do is bring it over to Trading View to check out some setups.
[1:06]So I'm going to switch the code view, copy that code, go over to TradingView, Pine editor, new indicator, and then we're going to paste that in here.
[1:14]Okay, so the first thing I'm noticing is actually the IFGs and the sweeps are the same color. I'm going to go and change the sweep colors.
[1:20]Let's make uh bullish sweeps yellow and bearish sweeps purple just to kind of give us a better sense of which is which.
[1:28]So now we got a rough idea. So you can see here, bearish sweeps there.
[1:32]We would look for a bearish IFG. Now let's go back and look at setups. So I guess let's just go to a market open.
[1:38]I think that's probably the best place to start and see if we can get any setups. We're looking for a sweep and then an IFG, like he was stating.
[1:44]Uh, so you can see here the purple bearish sweep. We'll look for a bearish IFG. Let's see if we get one. That's a bullish one. There's a bearish one right here. You're short.
[1:50]Let's just say the 50% level. I'm going to put stop there and then your target, in my opinion, it would be the bottom of this box, which would be a swing low. Tapped in somewhere around there.
[2:00]Okay, wow. So we actually ended up playing out very nicely to that low, took out that high. Bearish IFG is what we were waiting for.
[2:08]Let's try another day. All right, so we opened up here. Let's see if we get a sweep, end up taking out that low. Let's play it out now.
[2:14]We're looking for a bullish IFG. Okay, there's a lot going on right now. Okay, what I'm going to do is going to the settings.
[2:19]We have a max displayed IFGs. I'm going to put that at one, should plot the most recent one. Okay, so it did form on this candle and that printed a long here.
[2:28]Stops below this low, I think I like, and then it said target next swing point, which should be up here.
[2:34]And we bounce off it and actually end up taking out that high again. So it is a really good setup in good conditions.
[2:41]I've been testing this at market open on the 30-second chart, and when a sweep occurs and there actually is a significant pivotal high to target, then it tends to actually have some decent setups. So that's the only thing I would recommend.
[2:53]If you want to get the source code of this indicator completely free, just comment IFVG and I'll send you a link.
