Alpha Sweep
Combines inverse fair value gap inversions with liquidity sweep confirmation and market structure analysis, delivering high-confluence Smart Money buy and sell signals.
Methodology
SMC / iFVG
Markets
All
Style
Overlay
Signals
Buy / Sell + SL/TP
Overview
Alpha Sweep is a full-spectrum Smart Money Concepts engine built for traders who demand confluence before pulling the trigger. At its core, the indicator detects inverse fair value gaps -moments when price violates and inverts a prior imbalance -and pairs them with confirmed liquidity sweeps of recent swing points. Layered on top is a real-time market structure tracker that labels Break of Structure and Change of Character events, with optional filtering so signals only fire in alignment with the prevailing trend. For traders seeking even higher precision, a deep confluence engine lets you stack additional filters such as VWAP bands, premium/discount positioning, session windows, SMT divergence, and breaker block confirmation. Each signal includes automatic stop-loss and take-profit calculations.
How It Works
Alpha Sweep is built on the principle that the highest-probability reversals occur when three institutional concepts converge: an inverse fair value gap (iFVG) inversion, a confirmed liquidity sweep of recent swing points, and alignment with the prevailing market structure. The indicator first detects standard fair value gaps using configurable wick-to-wick or body-to-body measurement, then monitors whether price fully inverts each gap within a set number of candles. When an inversion occurs at a point where short-term liquidity has been swept, the indicator fires a Buy or Sell signal.
Market structure is tracked in real time using pivot-based Break of Structure (BoS) and Change of Character (ChoCh) detection on a configurable timeframe. When the market structure filter is enabled, signals only trigger in the direction of the dominant trend, preventing counter-trend entries during strong directional moves. For traders who follow ICT methodology, the premium/discount zone filter ensures Buy signals only appear in the discount half and Sell signals only in the premium half of the current range.
Beyond the core logic, Alpha Sweep offers a deep confluence engine with optional stacking filters: VWAP band positioning, HTF open bias alignment, trading session windows, SMT divergence against a correlated asset, and breaker block confirmation. Each signal automatically calculates stop-loss placement (configurable to the iFVG far edge, swing extreme, or premium/discount boundary) and take-profit levels based on external liquidity or a fixed risk-reward ratio.
Key Features
Inverse FVG Detection
Identifies when a fair value gap gets fully inverted by price action -a powerful signal that the gap's original intent has been negated and a reversal is underway.
Liquidity Sweep Confirmation
Validates signals by requiring price to first sweep short-term liquidity before the iFVG forms, ensuring setups involve institutional stop-loss grabs.
Market Structure Integration
Displays Break of Structure and Change of Character levels on your chart, with optional filtering to restrict signals to the dominant trend.
Advanced Confluence Engine
Stack optional filters including VWAP, premium/discount zones, session timing, SMT divergence, and breaker confirmation to match your exact methodology.
Common Trading Setups
Practical ways to trade with Alpha Sweep.
iFVG Liquidity Sweep Entry
The core Alpha Sweep setup: enter when an inverse FVG forms after a confirmed liquidity sweep, catching the reversal as trapped traders exit.
- 1Enable the short-term liquidity sweep filter and set the sweep type to Body for higher conviction.
- 2Wait for the indicator to print a Buy or Sell label after an iFVG inversion coincides with a liquidity sweep.
- 3Enter on the signal candle's close in the labeled direction.
- 4Use the automatically plotted stop-loss level (iFVG far edge by default) and take-profit target.
- 5If using the Retest on iFVG entry mode, wait for price to pull back into the iFVG zone before entering.
Structure-Aligned Trend Continuation
Use the market structure filter to restrict signals to the dominant trend direction, turning Alpha Sweep into a trend-following system that enters on institutional pullbacks.
- 1Enable the Aligned with Market Structure filter in the signal conditions.
- 2Only take Buy signals when the indicator shows bullish BoS or ChoCh on the structure timeframe.
- 3Only take Sell signals when bearish structure is dominant.
- 4Add the premium/discount filter to further refine entries to favorable price zones.
- 5Target external liquidity levels for take-profit rather than a fixed risk-reward ratio.
Session-Filtered ICT Model
Combine session timing with SMT divergence to only trade during high-volume kill zones when correlated assets confirm the reversal.
- 1Enable the In Trading Session filter and configure your preferred kill zone windows (e.g., London Open, NY Open).
- 2Enable SMT divergence and set the correlated symbol (e.g., ES vs NQ for indices, BTC vs ETH for crypto).
- 3Wait for a signal to appear during an active session window with SMT confirmation.
- 4Enter with tighter stops since the multi-filter confluence increases the probability of the setup.
Settings Reference
Key settings you can configure in TradingView. See the full setup guide for detailed walkthroughs.
| Parameter | Type | Default | Description |
|---|---|---|---|
| Entry When | string | Candle Close | Determines when the signal triggers: on candle close or on a specific price condition. |
| Retest Within X Candles | int | 5 | The iFVG retest must occur within this many candles of the inversion. |
| Short-Term Liquidity Sweep | bool | true | Requires a sweep of short-term liquidity (recent highs/lows) before the iFVG signal. |
| Market Structure Alignment | bool | false | When enabled, signals only fire when aligned with the prevailing market structure direction (BoS/ChoCh). |
| Stop Loss At | string | iFVG Far | Where to place the stop-loss: at the far edge or near edge of the inverse FVG. |
| Take Profit At | string | RR | Take-profit calculation method: Risk-Reward ratio or other structural targets. |
| RR | float | 1 | Risk-reward ratio for take-profit calculation when RR mode is selected. |
| FVG Inversion in Max X Candles | int | 7 | Maximum candles within which the FVG must be inverted for the signal to be valid. |
| Min FVG Size (ATR Multiple) | float | 0.1 | Minimum FVG size as an ATR multiple to filter insignificant gaps. |
| FVG Type | string | Wick-to-Wick | FVG detection method: Wick-to-Wick uses candle wicks, Body-to-Body uses candle bodies for tighter detection. |
| Market Structure Length | int | 12 | Lookback for market structure detection. Higher values identify more significant structure levels. |
Pro Tips
Don't Enable All Filters at Once
Enabling every confluence filter will reduce signals to near zero. Start with the core setup and add 1-2 filters that match your methodology.
Use Market Structure Alignment for Trending Markets
In strong trends, enabling market structure alignment filters out counter-trend signals, keeping you on the right side of the move.
Wick-to-Wick FVG for Default
The default Wick-to-Wick detection catches more FVGs. Switch to Body-to-Body only if you want stricter gap definitions.
Set Sessions for Kill Zone Trading
If you follow ICT kill zones, enable the session filter and configure the trading windows to match London Open, NY Open, etc.
Frequently Asked Questions
An inverse FVG (iFVG) forms when price completely fills and then violates a prior fair value gap, closing beyond its opposite boundary. This inversion signals that the original institutional intent behind the gap has been negated and a reversal is likely. Alpha Sweep uses this as its core signal because iFVG inversions represent one of the strongest confirmation patterns in Smart Money Concepts methodology.
No. The indicator works with just the core iFVG and liquidity sweep logic. Each additional filter (VWAP, premium/discount, session timing, SMT, market structure) is optional and reduces signal frequency while increasing quality. Start with the defaults and add filters incrementally as you develop confidence in the setup.
Alpha Sweep works on all markets and timeframes, but it is especially effective on the 1-minute to 15-minute charts for intraday trading where liquidity sweeps are frequent and clearly defined. For forex and indices, combining it with the session filter during London or New York kill zones tends to produce the highest-quality signals.
The stop-loss can be placed at the far edge of the iFVG, the extreme of the last two candles, the recent swing high or low, or the premium/discount boundary. The take-profit can target external liquidity (the nearest unswept swing point) or use a fixed risk-reward multiple that you configure. Both levels are calculated and displayed automatically with each signal.
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