Combining Market Structure, Liquidity Sweeps, Order Blocks, and Trend Lines
Summary
This document describes a chart overlay that combines four price-action tools: zigzag swing structure with Change of Character and Break of Structure labels, liquidity levels marked as active, broken, or swept, order block zones, and slope-filtered trend lines. It explains how swing and pivot windows identify levels, how close-throughs classify structural breaks, and how a level crossed intrabar but reclaimed by the close is marked as a sweep. Order blocks are anchored to an extreme candle in the move that produced a structural break, while trend lines join recent pivots only when their slope fits the expected direction.
The author suggests using these elements as a discretionary framework: look for agreement among modules, treat sweeps and retracements into blocks as possible setups, and use closing breaks to invalidate a zone. The document supplies default settings and implementation code, but no backtest, sample, or measured edge. Its claims about signal quality are not substantiated here, and pivot confirmation, parameter choices, and platform-specific code behavior may affect results.
Key ideas
- The overlay combines swing structure, liquidity levels, order blocks, and trend lines.
- Structural breaks are labeled as reversals or continuations according to prior directional state.
- Liquidity levels crossed and reclaimed by the close are distinguished as sweeps.
- Order blocks are drawn from an extreme candle associated with a structural break and removed after invalidation.
- The proposed entries are discretionary examples and have no supporting performance test in the document.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.