Trapper Market Structure (HH, HL, LH, LL)

How it works

The script uses pivot-based logic to detect local swing highs and lows with customizable pivot strength. By analyzing the relationship between consecutive pivot points, it automatically classifies each pivot as a Higher High (HH), Higher Low (HL), Lower High (LH), or Lower Low (LL).

This classification is determined by comparing each new pivot point to the previous relevant pivot. For instance, if a new pivot high is higher than the previous pivot high, it's labeled as an HH, indicating potential trend continuation or strength in the current market direction.

Why it may be useful

Market structure analysis is crucial for traders to understand the underlying trend and potential price movements. By visually representing price action through systematic labeling, traders can quickly interpret market dynamics without relying on subjective guesswork.

The indicator provides a clear, objective framework for identifying trend direction, potential reversals, and structural shifts. This systematic approach helps traders make more informed decisions by offering a structured view of price action that can be integrated into various trading strategies.

When to explore it

This indicator is most effective in markets with clear trending characteristics, such as forex, stocks, and cryptocurrencies. It works exceptionally well for traders focusing on price action strategies, helping them identify entry zones during pullbacks and confirm trend continuations or reversals.

Traders can leverage this tool across multiple timeframes, from scalping to swing trading, to gain insights into market structure. It is particularly useful for traders who want to understand the underlying market psychology and make more precise trading decisions based on objective structural analysis.

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