Detecting Base-Candle Geometry Inside Liquidity Zones

Summary

This article presents a configurable MQL5 module for classifying price geometry inside the lower-timeframe bars that make up a higher-timeframe liquidity-zone base. It describes identifying swing highs and lows, then using their relative levels and slopes to label structures such as triangles, rectangles, and M or W formations. Tolerances, swing distance, and minimum bar counts can be adjusted for different symbols and timeframes, and the classifications can be shown in zone labels, alerts, and journal entries.

The examples connect some detected formations with later breakouts, reversals, or retests, and illustrate analysis across hourly, five-minute, and one-minute views. These chart examples motivate the detector but do not establish that a given geometry reliably predicts zone strength or future returns. Swing sensitivity involves a tradeoff: more permissive settings can recognize smaller formations but may increase noise, while stricter settings can miss tight patterns. The module automates a pattern description; it does not provide validated evidence of a profitable trading rule.

Key ideas

• The detector analyzes lower-timeframe swings within higher-timeframe liquidity-zone base candles.
• Relative swing levels and trendline slopes are used to classify triangles, rectangles, and double tops or bottoms.
• Configurable tolerances and swing settings let users tune pattern sensitivity across markets and timeframes.
• Chart examples illustrate the method but do not establish predictive performance or profitability.

Tags

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