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Market Radar Methodology

ICT Liquidity Sweep Reversal Setup

The ICT Liquidity Sweep Reversal Setup identifies a prior swing high or low swept by wick, a close back inside that liquidity level, and a subsequent displacement through opposing market structure.

Written by· Founder & AI Engineer at Aventra Labs

ICT liquidity sweep, reclaim, and market-structure shift

A liquidity sweep trades beyond a prior swing high or low but closes back inside that reference. Aventra then requires directional displacement through opposing structure so a wick alone is not treated as a complete reversal.

Bullish candidates sweep sell-side liquidity below a prior low; bearish candidates sweep buy-side liquidity above a prior high. The reclaim and later structure shift must occur in chronological order.

  • Prior liquidity pivot
  • Wick through the level
  • Close back inside
  • Directional displacement
  • Market-structure shift

What strengthens the setup

A decisive reclaim, strong displacement relative to recent volatility, nearby equal-liquidity context, and a same-direction FVG can strengthen the reading. The setup weakens if price breaches the sweep extreme again or never shifts structure.

Market Radar marks the liquidity area and structure-shift zone separately so the chart sequence remains readable.

Detection Focus

  • Prior swing liquidity level
  • Wick sweep with close reclaim
  • Opposite-direction displacement
  • Market-structure shift
  • Recent active completion

Quality Signals

  • Sweep depth
  • Close reclaim strength
  • Displacement versus ATR
  • Equal-liquidity context
  • Same-direction FVG confluence

Invalidation

  • Price breaches the sweep extreme
  • The reclaim fails
  • No market-structure shift follows
  • Price extends materially beyond the active setup window
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