BeginnerLesson 1 of 4 · 8 min
Liquidity and Sweeps
Where stop orders tend to cluster, and what a sweep of those levels looks like.
Illustrative chart · Sweep of equal lows
What liquidity means here
In this vocabulary, liquidity refers to resting orders — often protective stops above obvious highs and below obvious lows. Equal highs and equal lows are classic examples.
The sweep
A sweep is a brief move through such a level followed by a return. It is a description of behaviour; on its own it does not tell you what happens next.
Key takeaways
- Obvious highs/lows often hold resting stops.
- A sweep takes the level then reclaims it.
- Combine with structure before acting.
Charts are illustrative examples, not real market data. This content is for educational purposes only and is not financial advice.