Heatmap Liquidation Zones
- Indicators
- Version: 1.0
- Activations: 5
The Liquidation Zones Heatmap is a custom technical indicator designed for the MetaTrader 4 (MT4) platform. It calculates and visualizes estimated liquidation zones based on price action and internal algorithms, displaying them as a dynamic heatmap on the chart. These zones are known by several names, sometimes referred to as liquidity pools, liquidity levels, leverage levels, liquidation heatmap levels, leverage heatmap zones, or leverage heatmap levels.
These zones represent potential areas of liquidity concentration, where stop-loss clusters or liquidation events may occur.
Please note: The levels shown are model-based estimations and do not represent actual or guaranteed liquidation data. They should be used as a information tool, not as a predictive or exact source of market events.
Key Features
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Market Mode (Crypto / Forex):
The indicator is optimized for cryptocurrency markets by default, using parameters tailored to typical crypto leverage behavior.By enabling Forex mode, the calculation adapts to a broader range of non-crypto instruments, applying alternative ratios suitable for traditional markets such as Forex and similar asset classes. -
Multi-Leverage Tracking: The indicator tracks and calculates potential liquidations across 5 distinct configurable leverage tiers simultaneously (defaulting to 10x, 25x, 35x, 50x, and 100x).
- Interactive On-Chart UI: It features a built-in interactive dashboard of buttons overlaying the chart. Traders can click these buttons to instantly toggle specific leverage tiers on or off, hide the heatmap entirely, or manually recalculate the data, making on-the-fly analysis very easy.
A common issue, for example on EURUSD 5m, is that zones may not appear. This can happen because the zones are too far from the current price. Keep in mind that higher leverage levels result in zones being closer to the price, while lower leverage levels place zones further away. Another case where zones may not appear, for example on EURUSD 1m, is due to the width of the zones. In this case, reducing the zone width can help — for example, changing the Price Clustering from 100 points to 5 points. This issue of zones not appearing can occur particularly on smaller timeframes such as 15m, 5m, and 1m. With the adjustments mentioned above, it should be possible to resolve it.
When the indicator loads, it calculates using the zones selected by default, and the same applies when changing the timeframe. However, if you want it to update again, we recommend clicking the "CALC" button, which forces it to count the zones.
