Stop Hunt Radar

The Stop Hunt Radar indicator maps stop-loss liquidity clusters in real-time, classifying market reactions when these levels are breached and providing historical depth guides to optimize stop placement. It provides a data-driven view of where "forced selling" or "forced buying" is likely to occur, helping traders avoid common liquidity traps.

Usage

The Usage section focuses on identifying liquidity pools and interpreting the subsequent price action. The indicator identifies swing points and clusters them into "pools" of liquidity, which are displayed as shaded bands on the chart.

• Pool Identification: Shaded bands represent areas where stops are likely resting. "Sell stops" (SSL) appear under lows, while "Buy stops" (BSL) appear above highs.
• Ranking & Heat: Pools are color-coded based on a scoring system. Gray indicates minor swings, while pink/red indicates high-probability liquidity zones (e.g., equal lows, yesterday’s low, or high-volume flushes). Hovering over a level reveals the specific drivers behind its rank.
• Classification Events: When price hits a pool, the radar assigns one of three verdicts on closed bars:
  • ⚡ Swept: Price pierced the level but closed back within the range. The marker remains with a measured raid depth (e.g., "2.4 ATR").
  • ✕ Broken: Price closed through the level and sustained momentum beyond it.
  • ⌛ Undecided: Price is currently navigating the level; the radar waits for a confirmation window before labeling.
• Depth Guides: Dotted lines near pools indicate "typical" and "1-in-20" sweep depths based on the specific asset's history. These serve as a reference for placing stop losses outside of high-frequency raid zones.

Details

The script uses ATR-scaled geometry and percentage-based tolerances to ensure it adapts to different assets and timeframes.

• Statistical Foundation: Unlike many retail tools, the sweep labels are not intended as "buy signals." Internal testing (verified via Python) across 24 months of data indicates that post-sweep price action is statistically similar to random entry. The tool is designed for risk management and objective auditing of liquidity events rather than predictive signaling.
• Auto-Adapt Feature: When enabled, the script recognizes the asset class. For Forex, it prioritizes "big-figure" and "half-figure" round numbers. For assets without volume data (like certain indices), it automatically disables volume-based ranking factors.
• Receipt Trail: The indicator maintains "outcome receipts" (wins and losses) on the chart. This allows traders to audit their beliefs about how often specific levels actually sweep versus break.

Settings

Display

• Min Score To Display: Filters out weak liquidity pools based on their heat score.
• Display Radius: Hides pools that are far from the current price to keep the chart clean.
• Label Style: Toggles between "Beginner" (descriptive text) and "Pro" (compact BSL/SSL codes).
• Sweep Depth Guides: Enables dotted lines showing median and extreme historical raid depths.
• Auto-Adapt To Asset Class: Automatically adjusts rounding and volume weights based on the symbol type.

Swing Detection & Geometry

• Pivot Left / Right: Sets the number of bars required to confirm a swing high or low.
• Max Armed Life: Defines how many bars a pool remains active before being retired.
• Pocket Depth: Controls the visual thickness of the shaded liquidity zone using an ATR multiplier.
• EQ Merge Tolerance: Determines how close two pivots must be to be considered "Equal Highs/Lows."

Scoring & Heat Weights

• Weights (EQ, Age, Confluence, Volume): Adjusts how much various factors contribute to the 0–10 heat score.
• Session Confluence: Includes Daily and Weekly highs/lows in the scoring.
• Round Number Confluence: Adds weight to levels near significant psychological price points.

Sweep / Outcome

• Min Sweep Penetration: The minimum distance price must travel past a level to register a touch.
• Multi-Bar Sweep Grace: The number of bars allowed for price to "reclaim" a level before it is labeled a break.
• Outcome Receipts: Choose to display both sweeps (⚡) and breaks (✕), or only successful sweeps.

FAQ

How do I use the depth guides for stop placement? The guides show the median and 95th-percentile "wick" depth of past sweeps. To avoid being "hunted," traders often place their stops beyond the "typical sweep" line or the "1-in-20" extreme line.

Why does the color of a pool change? Colors are relative by default. As new, stronger liquidity levels form, older levels may shift from "Hot" to "Warm" to reflect their current relative importance on the screen.

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