ICT LIQUIDITY Trading Guide

The ICT Liquidity is a quantitative technical analysis tool. ICT Liquidity Indicator Based on ICT Liquidity concepts - v2.3 Identifies Buyside and Sellside liquidity zones based on swing point clustering.

What does the indicator show?

• Market Structure & Momentum: Visualizes prevailing trend directions and key reversal zones.
• BUY / SELL Signals: Highlights confirmed entry and exit opportunities based on quantitative rules.
• Dynamic Boundaries: Provides adaptive levels for managing trade risk and reward expectations.

Key Settings

• Term (term): Controls the calculation period and sensitivity for market detection.
• Margin Divisor (marginDiv): Controls the calculation period and sensitivity for market detection.
• Visible Zones (visibleZones): Controls the calculation period and sensitivity for market detection.
• Show Labels (showLabels): Controls the calculation period and sensitivity for market detection.
• Hide Data (hideData): Controls the calculation period and sensitivity for market detection.
• Use Candle Limit (useCandleLimit): Controls the calculation period and sensitivity for market detection.
• Candle Limit (bars) (candleLimit): Controls the calculation period and sensitivity for market detection.
• Buyside Liq (buyLiq): Controls the calculation period and sensitivity for market detection.
• Sellside Liq (sellLiq): Controls the calculation period and sensitivity for market detection.
• Dist to Buy % (distToBuy): Controls the calculation period and sensitivity for market detection.
• Dist to Sell % (distToSell): Controls the calculation period and sensitivity for market detection.
• Buy Zones (activeBuyZones): Controls the calculation period and sensitivity for market detection.
• Sell Zones (activeSellZones): Controls the calculation period and sensitivity for market detection.
• Nearest Buyside Zone (nearestBuyZone): Controls the calculation period and sensitivity for market detection.
• Nearest Sellside Zone (nearestSellZone): Controls the calculation period and sensitivity for market detection.
• Buyside Liquidity Level (buyLiq): Controls the calculation period and sensitivity for market detection.
• Sellside Liquidity Level (sellLiq): Controls the calculation period and sensitivity for market detection.
• Active Buyside Zones Count (activeBuyZones): Controls the calculation period and sensitivity for market detection.
• Active Sellside Zones Count (activeSellZones): Controls the calculation period and sensitivity for market detection.
• Distance to Buyside % (distToBuy): Controls the calculation period and sensitivity for market detection.
• Distance to Sellside % (distToSell): Controls the calculation period and sensitivity for market detection.

How to use Strategy Parameters (Condition Source)

Within the Strategy Tester module, this indicator can be used both as a direct signal source and as a market-state filter.

1. Signal Events

• buySignal - Fires when a bullish market condition is confirmed.
• sellSignal - Fires when a bearish market condition is confirmed.
• signalDir - Outputs 1 for bullish, -1 for bearish, and 0 when neutral.

2. Filters and Trade Levels

• term - Term value used for structural qualification or thresholds.
• marginDiv - Margin Divisor value used for structural qualification or thresholds.
• visibleZones - Visible Zones value used for structural qualification or thresholds.
• showLabels - Show Labels value used for structural qualification or thresholds.
• hideData - Hide Data value used for structural qualification or thresholds.
• useCandleLimit - Use Candle Limit value used for structural qualification or thresholds.
• candleLimit - Candle Limit (bars) value used for structural qualification or thresholds.
• buyLiq - Buyside Liq value used for structural qualification or thresholds.
• sellLiq - Sellside Liq value used for structural qualification or thresholds.
• distToBuy - Dist to Buy % value used for structural qualification or thresholds.
• distToSell - Dist to Sell % value used for structural qualification or thresholds.
• activeBuyZones - Buy Zones value used for structural qualification or thresholds.
• activeSellZones - Sell Zones value used for structural qualification or thresholds.
• nearestBuyZone - Nearest Buyside Zone value used for structural qualification or thresholds.
• nearestSellZone - Nearest Sellside Zone value used for structural qualification or thresholds.
• buyLiq - Buyside Liquidity Level value used for structural qualification or thresholds.
• sellLiq - Sellside Liquidity Level value used for structural qualification or thresholds.
• activeBuyZones - Active Buyside Zones Count value used for structural qualification or thresholds.
• activeSellZones - Active Sellside Zones Count value used for structural qualification or thresholds.
• distToBuy - Distance to Buyside % value used for structural qualification or thresholds.
• distToSell - Distance to Sellside % value used for structural qualification or thresholds.

Strategy Example: Enter Long when buySignal is true and trendFilter == 1, ensuring trades align with dominant momentum.