ICT FVG & Swing Detector Basic

The ICT FVG & Swing Detector Basic indicator provides an automated solution for identifying critical market structure elements such as Fair Value Gaps (FVG) and Swing Highs/Lows. It is designed to assist traders in spotting potential liquidity pools, imbalances, and trend reversal points across various asset classes and timeframes.

Usage

The indicator can be used to visualize key Smart Money Concept (SMC) levels directly on the chart.

• Fair Value Gaps (FVG): The tool highlights Bullish FVGs (green boxes) and Bearish FVGs (red boxes). These areas represent price imbalances where the market may return to seek liquidity or rebalance before continuing a move.
• Swing Detection: Horizontal lines mark the most recent Swing Highs and Swing Lows. These levels serve as primary points for identifying market structure shifts or setting target levels.
• Targets: A dynamic target feature can highlight the next most relevant swing point based on current price action.

Traders can utilize the FVG boxes as entry zones (often focusing on the 50% or 70% midline) and use the detected Swing points to place stop-losses or define take-profit objectives.

Details

The script identifies Fair Value Gaps by detecting a three-candle sequence where a gap exists between the high of the first candle and the low of the third (for bullish) or vice-versa (for bearish). Swing points are identified using a basic fractal-style detection (a high/low preceded and followed by a lower high/higher low).

The tool includes a customizable extension system, allowing users to project these levels forward by a specific number of candles or extend them indefinitely to the right of the chart to maintain visibility of historical levels.

Settings

Fair Value Gaps

• Show Bullish/Bearish FVGs: Toggles the visibility of the respective gap types.
• Number of FVGs to show: Controls how many historical gaps are displayed simultaneously.
• FVG Color: Sets the border and background color for the detected imbalances.
• Extend Option: Determines if the FVG box remains at the discovery point, extends by a fixed number of bars, or extends to the far right.

Swing Levels

• Show Swing Highs/Lows: Toggles the visibility of horizontal swing lines.
• Number of Swings to show: Sets the quantity of recent swing points preserved on the chart.
• Swing Line & Label Color: Customizes the visual output for structure levels.
• Swing Extend Option: Controls the horizontal projection of the swing lines.

Targets

• Show Next Target: Enables a dynamic dashed line indicating the nearest opposing swing level.

FAQ

• What markets does this work on? It is compatible with any market available on TradingView, including Forex, Stocks, Crypto, and Commodities.
• Can I set alerts for these levels? Yes, the script is optimized for alerts and will trigger notifications when new FVGs or Swing points are detected.
• How do I access this tool? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.