SMC Buy Sell Indicator

SMC Buy Sell Indicator

SMC Buy Sell Indicator is a price action-based trading tool designed to identify market structure using Smart Money Concepts. It focuses on detecting meaningful swing points, structural breaks, and confirmation signals directly from chart data.

The indicator operates using closed candle data and does not rely on future bars. All calculations are performed on confirmed price action, which helps maintain consistent and stable signals.

Key Features

Market Structure Detection

The indicator identifies important swing highs and swing lows using a configurable swing length. It applies spacing rules between swings to reduce noise and improve clarity.

Structure is simplified into:

• Higher High (HH)
• Lower Low (LL)

Only valid structural movements are considered, while weaker or insignificant fluctuations are filtered.

Wick-Based Filtering

To improve accuracy, the indicator evaluates candle wick size relative to body size. Small or weak wicks are ignored, helping to avoid low-quality swing points and reduce false structure identification.

Break of Structure (BOS)

The indicator detects Break of Structure using price confirmation:

• A bullish BOS requires price to close above a previous high
• A bearish BOS requires price to close below a previous low

This ensures that structure breaks are based on confirmed movement rather than temporary price spikes.

Buy and Sell Signals

Optional signal generation is available based on:

• Break of Structure (BOS)
• Market structure (HH and LL)

Signals are generated only after candle close. This avoids repainting and ensures that signals remain fixed once plotted.

Arrows are displayed directly on the chart with customizable size and color.

Non-Repainting Logic

All calculations are performed on closed candles. The indicator updates only when a new bar is formed. This prevents signal changes or repositioning after they appear on the chart.

Visual Elements

The indicator provides clear chart visualization:

• Structure labels (Buy / Sell) positioned above or below price
• Optional structure lines extending into the future
• Signal arrows with configurable appearance

All visual elements can be enabled or disabled through input settings.

Customization Options

Users can adjust key parameters:

• Swing detection sensitivity
• Minimum spacing between structure points
• Lookback period
• Enable or disable structure, labels, and lines
• Signal activation and confirmation type
• Arrow size and colors

These settings allow adaptation to different symbols and timeframes.

How It Works

1. The indicator scans historical candles within the defined lookback range
2. Valid swing highs and lows are detected using price comparison and wick validation
3. Market structure is labeled as HH or LL based on previous levels
4. Break of Structure is confirmed using candle close conditions
5. Signals are generated when selected conditions are met
6. Visual elements are drawn on the chart for interpretation

Notes

• The indicator is designed for analytical support and does not execute trades automatically
• Signal frequency depends on market conditions and selected settings
• It can be used on any symbol and timeframe