Bearish Highs & Bullish Lows (Untouched Levels)

How it works

The indicator systematically tracks untouched price extremes by identifying specific candle conditions in the market. For bear candles, it draws rays from the highest point that remains untouched, while for bull candles, it draws rays from the lowest point that remains unbroken. These rays represent potential dynamic support and resistance levels that evolve with market movement.

As new candles form, the indicator dynamically updates these levels. When a previously untouched level gets touched, it is not immediately deleted but instead remains until the start of a new candle. This approach allows traders to observe how price interacts with these dynamically generated levels over time, providing insights into potential market behavior and price action.

Why it may be useful

This indicator offers traders a unique method of identifying dynamic support and resistance levels based on price action and market structure. By tracking untouched highs and lows, it provides a more responsive and adaptive approach to understanding potential price barriers compared to traditional static level identification methods.

The continuous updating of these levels helps traders visualize market sentiment and potential turning points. It allows for a more granular understanding of price movement, highlighting areas where the market might experience potential reversals or continuation patterns based on recent price action.

When to explore it

The indicator is most effective in markets with clear directional movements and distinct candle patterns. It works particularly well in volatile markets where price action is more pronounced and where there are significant differences between bull and bear candles. Traders can benefit from this tool when looking to identify potential entry and exit points based on recent market structure.

It is especially useful for traders who focus on short to medium-term timeframes and are interested in understanding dynamic market levels. The indicator can be particularly valuable during trending markets, where clear directional movements provide more meaningful untouched high and low points to track.

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