Trend-Aligned Liquidity Sweeps with Progressive Scale-In Entries

Summary

The strategy uses the relationship between 100-period and 200-period EMAs to define bullish and bearish regimes. In an uptrend, a long setup occurs when price dips below the lowest low of a lookback window, closes back above that level, and finishes with a bullish candle. The short setup mirrors this around the recent highest high during a downtrend.

After an initial entry, additional entries can be added on later qualifying sweeps, with user-set quantities for up to five legs. The only programmed exit is a take-profit limit based on average position price plus or minus an ATR multiple; there is no stop-loss rule. The description frames scaling as a way to manage positions, but the document offers no test results or risk analysis. Because later legs can be substantially larger, losses may grow while price moves against the position, and the absence of a loss exit makes exposure and liquidation risk important considerations.

Key ideas

• The EMA relationship sets the direction in which sweep signals are considered.
• A sweep requires price to move beyond a recent extreme and close back inside it with a candle in the trend direction.
• The script allows up to five entries, with separately configurable quantities for each leg.
• A take-profit limit is set using average entry price and an ATR multiple, but no stop-loss is defined.
• No performance evidence is provided, and progressive additions can increase adverse exposure.

Tags

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