Smart Money Concepts [UAlgo]

2024年3月24日

🔶 Description:

Smart Money Concepts (SMC) refer to a trading strategy that revolves around understanding and following the actions of institutional investors, such as banks and hedge funds, who are considered the “smart money” in the market. The concept is based on the idea that these institutions have more information and resources, and thus their market activities can indicate future market movements.

This script designed to be a tool that will automatically provide many features related to SMC concept for investors, offering a market structure analysis that includes the identification of order blocks, breaker blocks, and liquidity points. It also delineates premium and discount zones, highlights Fair Value Gaps (FVG), Volume Imbalance (VI) and Order Gap (OG) areas, providing users with a multifaceted view of market dynamics.

🔶 Key Features:

Market Structure Analysis : Simplifies the overview of market behavior, identifies market breakouts or trend continuation.

It detects the market structure as shown in the image below :



Order Blocks : Detects Order Blocks based on market structure analysis and volume characteristics. It draws these blocks and provides information such as volume.

Order Block Identification:





Breaker Blocks : Detects Breaker Blocks based on market structure analysis.

Breaker Block Identification:





When Order Block above is broken,



As you can see, it has now turned into a Bearish Breaker Block,

And it seems that the price is getting a reaction from this breaker block above.

Liquidity Sweeps : Tracks liquidity sweeps on both the buy and sell sides, offering traders a perspective on market momentum and potential shifts.



Multi-Timeframe Fair Value Gap (FVG), Volume Imbalance (VI), Order Gaps (OG) Detection : Detects Fair Value Gap (FVG), Volume Imbalance (VI) and Order Gaps (OG) based on different criteria such as price movements and volume characteristics. It marks these gaps/voids and provides visual cues for analysis.

Examle for FVG:



Premium & Discount Zone Analysis : Analyzes premium and discount zones, showing prices within these zones and highlighting equilibrium (0.5) levels.



Customizable Options : Provides various input parameters for customization, such as market structure length, sensitivity settings, display preferences, and mitigation methods.

Previous Key Levels : Identifies previous key levels include previous highs, lows, equilibrium points, and open prices across different timeframes such as daily, weekly, and monthly.



🔶 Disclaimer:

Use with Caution: This indicator is provided for educational and informational purposes only and should not be considered as financial advice. Users should exercise caution and perform their own analysis before making trading decisions based on the indicator's signals.

Not Financial Advice: The information provided by this indicator does not constitute financial advice, and the creator (UAlgo) shall not be held responsible for any trading losses incurred as a result of using this indicator.

Backtesting Recommended: Traders are encouraged to backtest the indicator thoroughly on historical data before using it in live trading to assess its performance and suitability for their trading strategies.

Risk Management: Trading involves inherent risks, and users should implement proper risk management strategies, including but not limited to stop-loss orders and position sizing, to mitigate potential losses.

No Guarantees: The accuracy and reliability of the indicator's signals cannot be guaranteed, as they are based on historical price data and past performance may not be indicative of future results.

2024年6月14日

リリースノート

New Feature :

- Trend Lines added.

2024年7月16日

リリースノート

Alerts added.

2024年7月24日

リリースノート

Multi-Timeframe Swing Failure Pattern added.

Detects and plots bullish and bearish swing failure patterns on the chart based on user-defined settings. The user can select a timeframe for the SFP detection and configure parameters like lookback period, minimum bars between SFPs, and a lock period to prevent consecutive signals.

The script identifies swing highs and lows within the specified lookback period and checks if the current high/low breaks the previous swing high/low and then closes back within the range. If a valid SFP is detected, it plots a label and a line at the respective levels.



Also alerts added for detected patterns.

2024年8月9日

リリースノート

New Order Block Update

Order block design is now more modern and more detailed!



- Internal Bullish/Bearish volume calculation improved.

- New volume and percent view of order blocks.



Other Changes

- Liquidity improved.

- Market Structure Logic improved.

-Mini bugfix.

2024年8月29日

リリースノート

"Hide Overlap" Feature added.

Hide Overlaps - True: This option helps maintain a cleaner chart by displaying only non-overlapping order blocks. For traders who prefer a straightforward and uncluttered view, this can simplify decision-making by focusing on distinct order blocks.

Hide Overlaps - False: When this option is disabled, overlapping order blocks are displayed. Some traders might find value in seeing these overlaps because they can indicate areas of increased significance where multiple order blocks coincide. These regions could be interpreted as stronger zones of support or resistance.

2024年11月23日

リリースノート

Market Structure Detection Algorithm improved.

Default values of the indicator is changed.