HTF Rejection Blocks (RB) + Alerts Emoji

The HTF Rejection Blocks (RB) + Alerts Emoji indicator identifies and visualizes institutional liquidity sweeps and rejection zones from higher timeframes to help traders spot high-probability reversal areas.

Usage

The indicator displays colored boxes on the chart representing Rejection Blocks formed on a higher timeframe (HTF).

• Bullish Rejection Blocks: Formed when a candle sweeps the low of a lookback period and closes bullishly. These are displayed as green zones.
• Bearish Rejection Blocks: Formed when a candle sweeps the high of a lookback period and closes bearishly. These are displayed as red zones.
• Mitigation: When price retraces into an active Rejection Block, the zone changes color (default blue) to indicate it has been "touched" or mitigated.
• Alerts & Emojis: The script provides real-time visual feedback with emojis (🟢 for bullish touch, 🔴 for bearish touch) and alerts when a new block is created or an existing one is tested.

Details

The script uses request.security() to fetch price data from a user-defined higher timeframe. A Rejection Block is defined by the wick of a "sweep" candle.

• For a Bullish RB, the zone is defined from the candle's body low to its absolute low.
• For a Bearish RB, the zone is defined from the candle's body high to its absolute high.

To ensure the validity of these wicks, an optional ATR filter is included. This filter requires the wick to be a certain percentage of the Average True Range, filtering out insignificant price action.

Settings

• Higher Timeframe: The timeframe used to calculate the Rejection Blocks (e.g., 15m, 1h, 4h).
• Lookback Period: The number of previous HTF candles used to determine the highest high or lowest low for sweep detection.
• Use ATR Filter: Enables a minimum wick size requirement based on volatility.
• ATR Period: The length used for the ATR calculation.
• Min Wick Size (% of ATR): The required wick size relative to the ATR to qualify as a valid sweep.
• Colors: Customizable colors for bullish, bearish, and mitigated zones and borders.

FAQ

How do I use the HTF Rejection Blocks (RB) + Alerts Emoji?

Select a timeframe higher than your current chart in the settings. Look for price to return to the highlighted zones for potential entries or reversals.

What do the emojis mean?

A 🟢 emoji appears below a bar when price touches a bullish rejection zone. A 🔴 emoji appears above a bar when price touches a bearish rejection zone.

How can I access this script?

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