Elaris Liquidity Zones Pro

The Elaris Liquidity Zones Pro indicator provides a comprehensive visualization of liquidity-oriented price areas and market structure behavior by identifying swing-based zones and equal high/low clusters. This tool helps traders monitor how price interacts with institutional liquidity pools through dynamic zone states and sweep detection.

Usage

The Usage section describes how the script can be used to identify key market interest areas. The indicator automatically plots boxes around significant swing points and areas where price has historically reversed or consolidated.

• Identifying Liquidity Pools: Use the colored zones to identify where buy-side (resistance-based) and sell-side (support-based) liquidity is likely sitting.
• Monitoring Equal Highs/Lows (EQH/EQL): Look for the "EQ" markers to find levels where price has touched multiple times without breaking, often signaling a high concentration of orders.
• Liquidity Sweeps: Use the sweep markers to identify when price briefly moves beyond a structural level to "grab" liquidity before reversing. This can provide context for potential momentum shifts.
• Zone Interaction: Observe the zone states (Fresh, Tested, Swept) to gauge the significance of a level. A "Fresh" zone may act as a stronger point of interest than a "Swept" or "Invalid" one.

Details

The indicator utilizes volatility-aware calculations to ensure zone sizes adapt to current market conditions.

• Swing Structures: It uses a user-defined swing length to identify pivot highs and lows, which form the basis of the liquidity zones.
• Dynamic States: As price interacts with a zone, the script updates its internal state. A "Touch" occurs when price enters the zone; a "Sweep" occurs when price exceeds the pivot level but fails to sustain a breakout; "Invalidation" occurs when price closes significantly through the zone.
• Strength Calculation: Each zone is assigned a strength score based on pivot prominence, volume confirmation (if enabled), and side-specific rejection characteristics.
• Tolerance Filtering: The Equal High/Low logic uses an ATR-based tolerance threshold to group levels that are mathematically close but not identical, reducing chart noise.

Settings

General

• Swing Length: Sets the number of bars required to confirm a pivot high or low.
• Max Active Zones: Limits the number of active zones displayed on the chart to maintain performance.
• Zone ATR Padding: Determines the vertical thickness of the liquidity zones based on ATR.
• ATR Length: The lookback period used for volatility calculations.
• Zone Extend Bars: How many bars into the future a zone will extend.
• Show Zone Midline: Toggles the visibility of the dashed line at the center of each zone.
• Show Labels: Displays labels containing zone state, strength, and touch count.
• Show Sweep Markers: Enables visual indicators when a liquidity sweep is detected.

Equal High / Low Logic

• Detect Equal Highs / Lows: Enables the logic to find clusters of similar price levels.
• EQ Search Lookback: The number of bars the script looks back to find matching price levels.
• EQ Tolerance ATR: Adjusts how strictly "equal" the levels must be to be labeled.

Quality Filters

• Use Volume Filter: When enabled, zones created on higher-than-average volume receive higher strength scores.
• Volume SMA Length: The period used to calculate average volume.
• Minimum Strength To Show: Filters out zones that do not meet a specific strength threshold.

Style & Alerts

• Style Settings: Allows customization of colors for Buy-side, Sell-side, Swept, and Invalidated zones.
• Alerts: Options to enable alerts for zone creation, touches, sweeps, and invalidations.

FAQ

How do I interpret the different zone colors? By default, green/teal represents buy-side liquidity areas and red/pink represents sell-side liquidity areas. When a zone is swept or invalidated, it will change to a secondary color (orange/aqua or gray) to indicate its status has changed.

What does the "Strength" value in the label mean? The strength is a calculated score (0-10) based on how aggressively price rejected the level, the volume during the pivot formation, and how prominent the swing was relative to the current ATR.

How do I get access to the indicator? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.