Gold & EUR/USD

The Gold & EUR/USD indicator identifies liquidity sweeps followed by market structure shifts on lower timeframes to pinpoint potential high-precision entry points in trending markets.

Usage

The Usage section focuses on identifying reversals or continuations after liquidity has been cleared from key levels.

• Long Entries: Occur when price sweeps below a recent low (demand zone), followed by a bullish market structure shift (higher highs and higher lows), provided the RSI is oversold, the price is above the 50 SMA, and the Stochastic Oscillator is in oversold territory.
• Short Entries: Occur when price sweeps above a recent high (supply zone), followed by a bearish market structure shift (lower highs and lower lows), provided the RSI is overbought, the price is below the 50 SMA, and the Stochastic Oscillator is in overbought territory.

The presence of a Fair Value Gap (FVG) is also used as a confluence factor to confirm the strength of the displacement following the liquidity grab.

Details

This script combines several price action and momentum concepts:

• Liquidity Grab: It monitors price action relative to the 20-period highest high and lowest low to detect "sweeps" where price briefly breaches these levels.
• Market Structure Shift (MSS): It checks for a change in the sequence of highs and lows over a 5-period window to confirm a change in local trend direction.
• Momentum Filters: The RSI and Stochastic Oscillators ensure that entries are timed when the market is perceived as overextended.
• Trend Filter: The Simple Moving Average (SMA) is used to align trades with the medium-term trend.

Settings

Indicator Calculations

• RSI Length: Sets the lookback period for the Relative Strength Index calculation.
• Overbought Level: The threshold above which the RSI is considered overbought.
• Oversold Level: The threshold below which the RSI is considered oversold.
• Moving Average Length: Determines the period for the trend-filtering Simple Moving Average.
• Stochastic Length: Sets the lookback period for the Stochastic Oscillator.
• Stochastic Overbought Level: The upper threshold for the Stochastic Oscillator filter.
• Stochastic Oversold Level: The lower threshold for the Stochastic Oscillator filter.

FAQ

How do I use the Gold & EUR/USD indicator?

Identify the red (Supply) and green (Demand) zones. Look for price to breach these zones and wait for the strategy to signal a market structure shift with confirmed momentum alignment.

Which timeframes are best for this tool?

While designed for "Sniper" entries on lower timeframes (LTF) like 1m, 5m, or 15m, it can be applied to higher timeframes to find major structural pivots.

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.