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Liquidity Toolkit

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Key Points:
  • Liquidity Toolkit is your liquidity companion for monitoring and anticipating price action.
  • Liquidity Toolkit combined the power of the Liquidity Status indicator with the potency of Price Triggers.
  • Liquidity Status indicates if the current current liquidity environment is bullish or bearish.
  • Price triggers highlight price levels where supports, resistances, and trend-changes are likely to occur.
  • Together, they create a comprehensive and actionable view of the market.
    • Summary
      The Liquidity Toolkit (TK) is designed as a one-stop-shop indicator by combining novel liquidity metrics with traditional and impactful price measurements. In combination, TK grants unparalleled views of the market through effective yet simple displays.
      The TK indicator contains two separate by synergistic algorithms: the Liquidity Status algorithm, which measures liquidity to determine if outlooks are bearish or bullish; and the Price Triggers algorithm which analyzes price-action to determine points of support and resistances.

      Example 1:
      snapshotExample 2:
      snapshotExample 3:
      snapshotDetailsLiquidity Status
      Liquidity Status (LS) measures liquidity and produces either `Bullish` or `Bearish` indications depending on the current liquidity status.
      Bullish indications indicate that the overall flow of liquidity is supportive of bullish price and bearish indications indicate that the overall flow of liquidity is supportive of bearish price action.
      LS is displayed in two ways:
      1. Candle-Coloring: if candles are green, liquidity status is bullish and if candles are red, liquidity status is bearish.
      2. Text Display: Bearish and/or Bullish is displayed via text as well.
      Price Triggers
      Price Triggers (PT) measure price action and report their findings on several timeframes:
      1. 1-Minute
      2. 5-Minute
      3. 60-Minute
      4. 1-Day
      5. 1-Week

      TK graphs the PTs based on the chart interval – only the higher PTs are display (i.e.: On the 1-Hour chart, the 5-, and 1-Min PTs will not be displayed).

      Example 4snapshot
      In additional to showing price-levels of support and resistance, Price Triggers also display the relative strength of these supports and resistances by displaying the Trigger Strengths. These represent areas of influence.
      Opportunities often arise when PTs squeeze each other, often forcing spot to make a large move – as can be seen below:
      Example 5snapshotFrequently Asked Questions
      How can I get access to the Liquidity Toolkit?

      Please see the Author’s Instructions section at the top of the page for more details and information.
      How can I get additional information on the indicators used?

      Please see the Author’s Instructions section at the top of the page for more details and information.
      I added the Liquidity Toolkit but I do not see all of the PT lines – where are they?

      Depending on the chart interval, not all PT lines will be displayed. Those lower than the chart’s timeframe are hidden for clarity.
      I added Liquidity Toolkit but the chart’s candles are not being filled by LS.

      The chart will try to color over LS’ candles if you do not disable them. To disable, go to the Chart Settings then to Symbol and de-select Body, Borders and Wick.


Release Notes
Quick patch
  • 1-Hour Price Trigger will now be displayed regardless of chart interval.
Release Notes
Updates:
  • 5-Minute Trigger will now be auto-displayed up until the1-Hour chart.
  • Fixed calculation issues causing Liquidity Status being overly conservative
  • Price labels are now simple noted as `T:<Timeframe>` rather than `TK:<Timeframe>`.
Release Notes
Quick updates:
  • Small fixes to settings. Added tooltips.
  • Removed misc. display elements from status bar.
  • Renamed the price-scale indicators.
Release Notes
Update: Opportunity Scalp Alerts – Recovery Scalp

The Recovery Scalp has been added!
This is the first of several rounds of updates planned to bring highly specific and actionable alerts to the Liquidity Toolkit.
The first alert is the Recovery Scalp, which is designed to identify moments where a price recovery is anticipated during an on-going price decline. In other words, it looks to capture the bottom of the dip by providing entry alerts right before price makes its first meaningful run towards recovery.
Note: These are only functional on the 5-Minute charts and below. Recommended setting is 5-Minutes.

Labels
  • Monitoring Label: A `Monitoring` label is placed on the chart when the algorithm detects conditions are changing towards the start of a scalp opportunity and may provide opportunity to prepare. These labels can be toggled on or off.
  • Enter Label: An `Enter` label is placed on the chart when the algorithm detects conditions have become indicative of a price-recovery initiating.
  • Exit Label: An `Exit` label is placed on the chart when the algorithm detects either (A) Conditions are no longer indicative of a price recovery, or (B) Price has recovered and tested the first anticipated Price-Trigger resistance.


Scalp Alerts
The `Enter` and `Exit` designations are accompanied with an alert, entitled:
  • Opportunity Enter - RS
  • Opportunity Exit - RS

Additionally, more traditional alerts were added for individual alert creation, they include:
Price Trigger Cross-over with Bullish Liquidity
These trigger when a lower Price Trigger crosses over a higher Price Trigger with bullish liquidity, which can indicate the start of a bullish run. For example, the `5-Minute Bullish Crossover` will produce an alert whenever the 5-Minute PT crosses over the 1H, 1D or 1W Price Trigger with bullish liquidity.

Price Trigger Cross-under with Bearish Liquidity
Opposite the Cross-over with Bullish Liquidity: these alerts fire when a lower Price Trigger has crossed underneath a high Price Trigger with bearish liquidity. For example, if the 1-Day PT crosses under the 1-Week price trigger with bearish liquidity.

Additional Notes and Changes
  • Opportunities User Agreement added and is required to be accepted before opportunities will function.
  • Added option to color the Price Triggers based on their relationship to price. When below price and acting as supports, they are colored the selected Bullish color, and when above price and acting as resistances, they are colored the selected bearish color.


Bug Fixes
  • Fixed a bug causing the LS Status position to not go where directed.


Examples of Scalp Opportunity Alerts
Example 1: NVDA
snapshot

The Scalp Opportunity Entry alert fired on 2025-10-22 at 15:05. At that time, ATM Calls ($180 strike, expiry 2025-10-24 [T+2]) were $1.96 a contract.
The exit alert fired briefly after market open the next day at 2025-10-23 at 09:50. At that time, the ATM calls (same as above) were $2.71.
A 40% increase in ATM calls in fewer than 2 hours!

Example 2: TSLA
snapshot
Entry alert fired on 2025-10-13 at 10:55, when the ATM calls ($420 strike, expiry 2025-1017 [T+4]) were $11.80 per contract.
The exit alert fired on 2025-10-13 at 13:40, 5 hours later. The same calls were $16.00, a 35% increase!

Example 3: VOO
snapshot
Entry fired at 2025-09-25 at 15:10 prior to market close. At the time, the ATM calls ($605 strike, expiry 2025-09-26 [T+1]) were $3.00 per contract.
Exit alert came at 2025-09-26 at 09:30 right at market open, when the same calls were now $4.00 – a 33% jump!


Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.