Liquidity Engine
Advanced liquidity mapping tool that visualizes where stop losses are clustered, identifies high-liquidity zones, and shows you exactly where smart money will target next.
What It Does
The Liquidity Engine maps all major liquidity pools on your chart—places where retail traders have clustered their stop losses. Smart money deliberately targets these zones to fuel their large orders.
This indicator goes beyond basic equal highs/lows—it quantifies liquidity density, shows multi-timeframe liquidity, and predicts which zones will be swept next based on proximity and size.
Key Features
Liquidity Density Heatmap
Visualizes how much liquidity is at each level—thicker lines mean more stops clustered there.
Buy vs Sell Stop Zones
Differentiates between buy stops (above highs) and sell stops (below lows)—critical for understanding flow.
Multi-Timeframe Liquidity
Shows liquidity from higher timeframes on your current chart—see the big picture while trading intraday.
Proximity Alerts
Get alerted when price approaches major liquidity zones—catch sweeps before they happen.
Main Settings
| Setting | Default | Description |
|---|---|---|
| Lookback Period | 100 | Bars to scan for liquidity zones (longer = more zones) |
| Show HTF Liquidity | true | Display liquidity from higher timeframes |
| Density Threshold | 3+ | Min touches to qualify as high-density liquidity |
| Proximity Alerts | false | Alert when price nears major liquidity zones |
How to Use This Indicator
1. Identify Major Liquidity Pools
Look for thick liquidity lines—these are high-density zones where many stops are clustered. Smart money targets these first.
2. Determine Sweep Direction
Buy stops above highs suggest upward sweeps; sell stops below lows suggest downward sweeps. Watch for price moving toward these zones.
3. Trade the Reversal After Sweep
When price sweeps liquidity and reverses, that is your entry signal—you are trading with smart money at this point.
4. Use HTF Liquidity for Context
Higher timeframe liquidity zones often override lower timeframe setups—always check the bigger picture before entering.
Pro Tip: Pair with Liquidity Heatmap
For the ultimate liquidity analysis, combine this with the Liquidity Heatmap indicator—it visualizes liquidity in 2D, making it even easier to spot sweep targets.
View Liquidity Heatmap →Installation Instructions
Download the Pine Script file
Click the download button above
Open TradingView Pine Editor
Go to TradingView → Open chart → Pine Editor tab
Paste and save
Paste code → Save → Add to chart
Configure HTF settings
Enable higher timeframe liquidity for best results
See Liquidity Before Smart Money Sweeps It
This indicator maps liquidity zones, but predicting when sweeps happen is still difficult. AI PIPS sends you sweep signals with perfect timing—no more guessing.
Join Free Group - Live Liquidity Signals