A liquidity sweep is when price spikes through an obvious level — such as equal highs or lows — to trigger the stop-losses clustered there, then quickly reverses back. Large players use those stops as the liquidity needed to fill their own orders, so the real move often begins after the sweep, not before. Order flow (CVD) helps tell a genuine sweep from a failed breakout.
This term belongs to Charting & method. See how it fits the bigger picture in The Method, part of the free DEGEN ACADEMY — or watch it play out on the live terminal.
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FAQ
What is Liquidity sweep?
A liquidity sweep is when price spikes through an obvious level — such as equal highs or lows — to trigger the stop-losses clustered there, then quickly reverses back. Large players use those stops as the liquidity needed to fill their own orders, so the real move often begins after the sweep, not before. Order flow (CVD) helps tell a genuine sweep from a failed breakout.