Swing Failure Mode (SFP) ICT Indicator for MT4 | Forex Indicators Download - MetaTrader 4 Resources

The SFP (Swing Failure Pattern) Indicator in ICT style forms a break when price breaks through a significant support or resistance level but quickly reverses and closes below or above that level.

This MetaTrader 4 trading aid indicator shows the presence of liquidity at key levels by drawing orange and green lines.

Swing Failure Mode (SFP) ICT Spec Sheet

The following table reviews the main features of the ICT Swing Failure Mode Indicator.

Indicator Overview

The SFP (Swing Failure Mode) forms when price reaches these key levels , absorbs liquidity , and reverses in the opposite direction.

In this pattern , a valid trend reversal signal occurs when price breaks a high or low but fails to hold above the high or below the low.

Additionally, the indicator also identifies false breakouts by comparing the latest swing highs and lows .

Uptrend Conditions

The GBP/CHF currency pair price chart on the 5 minute time frame shows a false breakout at support.

In this case, the price first breaks below the support level or previous low, forming a long shadow below that level, absorbing liquidity , but quickly reverses . The current or next candle closes above the support level.

downtrend conditions

The CHF/JPY currency pair price chart on the 1 minute time frame shows a false breakout of resistance.

The price first breaks through the resistance level (the previous high point) and forms a long shadow line above this level, forming a false resistance breakthrough.

However, it quickly reverses after absorbing liquidity and the candle closes below the resistance level . The indicator identifies this price action as a false breakout .

Indicator Settings

The following image shows a view of the adjustable parameters:

• Do you want to see trends : View Trend Analysis
• SFP Method : SFP trading strategy
• Color Management : Adjust color settings
• Support Zone : The level at which prices increase
• Resistance Zone : The level at which prices fall

Conclusion

The SFP ICT Indicator identifies false breakouts of key support and resistance zones and provides suitable trading opportunities in the market.

This MetaTrader 4 Liquidity indicator draws green and orange lines when price moves in the opposite direction after absorbing liquidity.