# Draw on Liquidity Draw on Liquidity is an indicator on [Vela](https://vela.luxalgo.com/chart), our next-generation charting platform, written in Pine Script®. Inventories untapped liquidity pools (prior week and day highs/lows, session extremes, equal highs/lows, swing points and unfilled gaps) and names the working draw: the highest-scoring pool on the structure-bias side, weighted by tier and ATR distance. A magnet gradient, pool labels, dashboard and sweep alerts keep the target read current. - Indicator in the LuxAlgo Library, by LuxAlgo, published Mar 24, 2026. - Access: free. - Concepts: [Draw on Liquidity](https://www.luxalgo.com/library/concept/draw-on-liquidity/) (primary) - Open on Vela: https://vela.luxalgo.com/chart?pineScriptCodeId=imspuajjowxc0ghl0jlhys0x - Page: https://www.luxalgo.com/library/indicator/draw-on-liquidity/ **Draw on Liquidity** keeps a live inventory of the untapped pools price could be reaching for and commits to one answer. Each pool is scored by tier weight over ATR distance, and the best score on the structure-bias side becomes the working draw, tagged DOL and pulled toward by a magnet gradient. That is the [draw on liquidity](https://www.luxalgo.com/library/concept/draw-on-liquidity/) read made explicit: target first, entries second. ## How to Trade the Draw on Liquidity? - **DOL tag**: the working draw, emphasized with a wider solid line at its level. - **Structure alignment**: the dashboard reports the bias and whether the draw aligns with it. - **Draw reached**: price trading into the pool purges it and the read re-anchors to the next objective; both events carry alerts. - **Draw flips**: the draw switching sides is a bias-grade change, alerted in both directions. Tier weights follow the [SMC/ICT](https://www.luxalgo.com/library/family/smc-ict/) hierarchy: weekly 4, daily 3, session and equal extremes 2, gaps 1.5, swings 1. ## Draw on Liquidity Settings - **Pool toggles** (all default enabled): Prior Week High/Low, Prior Day High/Low, Session Highs/Lows, Equal Highs/Lows, Swing Highs/Lows and Unfilled Gaps. - **Swing Detection Length** (default 10): swing confirmation width for pool registration. - **Equal Level Tolerance** (default 0.1): ATR-multiple distance for merging swings into an equal highs/lows pool. - **Minimum Gap Height** (default 0.5): ignores imbalances shorter than this ATR multiple. - **Maximum Pool Age** (default 500): drops stale minor pools after this many bars. - **Sessions**: Asia 1800-0300, London 0300-0930, New York 0930-1600 (all enabled), clocked on the Sessions Timezone (default America/New_York). - **Structure Length** (default 50): swing length of the bias read. - **Show Dashboard** (default enabled); Draw Gradient, Draw Tag and Pool Labels default on, Keep Swept Pools and Draw History Path off. ## Frequently Asked Questions ### How is the working draw actually chosen? Tier weight divided by distance in ATR units: the nearest compelling pool wins, and higher-timeframe pools punch above their distance. The bias side is preferred, with a fallback to the other side when it holds no pools. ### How does this differ from Internal vs External Range Liquidity? [Internal vs External Range Liquidity](https://www.luxalgo.com/library/indicator/internal-vs-external-range-liquidity/) classifies where liquidity sits relative to the working range; this build ranks the whole inventory into one actionable target. ### Do the levels repaint? Not from future data. Prior day and week pools come from completed periods, session extremes post after the window closes, and swing pools confirm Swing Detection Length bars after the pivot. Pools may also merge or age out: when a new swing merges into an existing pool, that pool's whole line, back to its first swing, moves to the outermost of the merged swings, and swept pools are removed unless Keep Swept Pools is on. ## Related indicators - [Ultimate AMD Indicator](https://www.luxalgo.com/library/indicator/ultimate-amd-indicator/) (Judas Swing): markdown at https://www.luxalgo.com/library/indicator/ultimate-amd-indicator.md - [Sweeps & IFVGs](https://www.luxalgo.com/library/indicator/sweeps-ifvgs/) (Liquidity Sweep): markdown at https://www.luxalgo.com/library/indicator/sweeps-ifvgs.md - [FVG + Liquidity Sweep + CISD](https://www.luxalgo.com/library/indicator/fvg-liquidity-sweep-cisd/) (Liquidity Sweep): markdown at https://www.luxalgo.com/library/indicator/fvg-liquidity-sweep-cisd.md - [CRT Sweep & Setup Highlighter](https://www.luxalgo.com/library/indicator/crt-sweep-setup-highlighter/) (Liquidity Sweep): markdown at https://www.luxalgo.com/library/indicator/crt-sweep-setup-highlighter.md - [MSS Sweep Fib Retrace](https://www.luxalgo.com/library/indicator/mss-sweep-fib-retrace/) (Liquidity Sweep): markdown at https://www.luxalgo.com/library/indicator/mss-sweep-fib-retrace.md - [Price Action Concepts](https://www.luxalgo.com/library/indicator/luxalgo-price-action-concepts/) (Liquidity Sweep): markdown at https://www.luxalgo.com/library/indicator/luxalgo-price-action-concepts.md - [Session Sweep & iFVG RR](https://www.luxalgo.com/library/indicator/session-sweep-ifvg-rr/) (Session Liquidity): markdown at https://www.luxalgo.com/library/indicator/session-sweep-ifvg-rr.md - [Liquidity Sweeps](https://www.luxalgo.com/library/indicator/liquidity-sweeps/) (Liquidity Pool): markdown at https://www.luxalgo.com/library/indicator/liquidity-sweeps.md --- Source: https://www.luxalgo.com/library/indicator/draw-on-liquidity/ (LuxAlgo Library). Free to use with attribution: https://www.luxalgo.com/library/license/