Discussing the article: "Developing Swing Extremes and the Pullback Indicator: Anticipating Reversals with LTF Market Structure"

 

Check out the new article: Swing Extremes and Pullbacks in MQL5 (Part 2): Automating the Strategy with an Expert Advisor.

Built on lower-timeframe market structure, and then orchestrated on the higher-timeframe, this indicator detects swing extremes where price becomes statistically vulnerable to reversal. It visualizes overextension and pullback zones, offering early insight into mean-reversion behavior.

Swing Extremes and Pullbacks: Price reversals tend to emerge after clear overextension beyond recent lower-timeframe structure. In both cases, the indicator first identifies the most recent LTF swing high and swing low, which together define a short-term structural range. This range represents “fair” price behavior on the lower timeframe—where price has previously accepted value and rotated normally.

In the extreme bearish move, price aggressively pushes below the LTF's last low, expanding far beyond the recent structure. This breakdown is not treated as a continuation signal, but rather as evidence of exhaustion. When price trades significantly below both the last swing low and the broader LTF structure zone, the indicator flags conditions where selling pressure is statistically stretched, increasing the probability of a bullish pullback or mean reversion toward the prior structure.

Extreme Bear Move

Author: Hlomohang John Borotho

 
Arrows appearing n disappearing. Not yet stable
 
good Idea but not deploy properly .

the buy and sell arrows disappear .
the fractal objects disappear 

for LTF structrure 

use internal choch to identify HH /LL 

Then after choch LH /HL identify as likely the choch create HH /LL within a HTF  trend comes after LTF liquidity sweep.

once no new choch can get more entries on LH /HL 

lux algo ultimate smart concept mt5 indicator have a good internal choch / bos formula.


when HTF  give bullish 
LTF give netrual  but the HH and HL  is there on chart . .. 


i am profitable trader . i love automation and tools to assistance with my trading environment .
one day you will build something solid as you are a very good coder.

thanks .