A Multi-Timeframe Swing Sweep and Fair Value Gap Strategy

Summary

This strategy combines one-hour swing levels with five-minute entry conditions. It marks confirmed pivot highs and lows, then treats a wick beyond a prior swing followed by a close back inside that level as a bullish or bearish mitigation. After mitigation, it can require a directional displacement candle, defined by body size relative to ATR, before accepting a three-candle fair value gap in the matching direction.

The setup arms the gap as a retracement zone and places an order on the bar after price intersects it. Stops are anchored beyond the one-hour sweep wick with a configurable tick buffer, and targets use a fixed risk multiple, defaulting to two times risk. The script can limit trades to one per mitigation and disables pyramiding. The accompanying description claims a typical win-rate range and says directional regimes suit the method, but provides no supporting test details. Results may depend on market, timeframe, execution assumptions, and parameter choices.

Key ideas

• A one-hour pivot sweep that closes back through the prior swing defines the mitigation event.
• The strategy can require a directional five-minute displacement candle after mitigation.
• A matching three-candle fair value gap supplies the retracement entry zone.
• The stop uses the sweep wick, while the target is set at a configurable multiple of risk.
• The document offers general performance claims without the test data needed to assess them.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.