Turtle Soup Model [PhenLabs]📊 Turtle Soup Model
Version: PineScript™ v6
Description
The Turtle Soup Model is an innovative technical analysis tool that combines market structure analysis with inter-market comparison and gap detection. Unlike traditional structure indicators, it validates market movements against a comparison symbol (default: ES1!) to identify high-probability trading opportunities. The indicator features a unique “soup pattern” detection system, comprehensive gap analysis, and real-time structure breaks visualization.
Innovation Points:
First indicator to combine structure analysis with gap detection and inter-market validation
Advanced memory management system for efficient long-term analysis
Sophisticated pattern recognition with multi-market confirmation
Real-time structure break detection with comparative validation
🔧 Core Components
Structure Analysis: Advanced pivot detection with inter-market validation
Gap Detection: Sophisticated gap identification and classification system
Inversion Patterns: “Soup pattern” recognition for reversal opportunities
Visual System: Dynamic rendering of structure levels and gaps
Alert Framework: Multi-condition notification system
🚨 Key Features 🚨
The indicator provides comprehensive analysis through:
Structure Levels: Validated support and resistance zones
Gap Patterns: Identification of significant market gaps
Inversion Signals: Detection of potential reversal points
Real-time Comparison: Continuous inter-market analysis
Visual Alerts: Dynamic structure break notifications
📈 Visualization
Structure Lines: Color-coded for highs and lows
Gap Boxes: Visual representation of gap zones
Inversion Patterns: Clear marking of potential reversal points
Comparison Overlay: Inter-market divergence visualization
Alert Indicators: Visual signals for structure breaks
💡Example
📌 Usage Guidelines
The indicator offers multiple customization options:
Structure Settings:
Pivot Period: Adjustable for different market conditions
Comparison Symbol: Customizable reference market
Visual Style: Configurable colors and line widths
Gap Analysis:
Signal Mode: Choice between close and wick-based signals
Box Rendering: Automatic gap zone visualization
Middle Line: Reference point for gap measurements
✅ Best Practices:
🚨Use comparison symbol from related market🚨
Monitor both structure breaks and gap inversions
Combine signals for higher probability trades
Pay attention to inter-market divergences
⚠️ Limitations
Requires comparison symbol data
Performance depends on market correlation
Best suited for liquid markets
What Makes This Unique
Inter-market Validation: Uses comparison symbol for signal confirmation
Gap Integration: Combines structure and gap analysis
Soup Pattern Detection: Identifies specific reversal patterns
Dynamic Structure Management: Automatically updates and removes invalid levels
Memory-Efficient Design: Optimized for long-term chart analysis
🔧 How It Works
The indicator processes market data through three main components:
1. Structure Analysis:
Detects pivot points with comparison validation
Tracks structure levels with array management
Identifies and processes structure breaks
2. Gap Analysis:
Identifies significant market gaps
Processes gap inversions
Manages gap zones visualization
3. Pattern Recognition:
Detects “soup” patterns
Validates with comparison market
Generates structure break signals
💡 Note: The indicator performs best when used with correlated comparison symbols and appropriate timeframe selection. Its unique inter-market validation system provides additional confirmation for traditional structure-based trading strategies.
Turtlesoup
MMXM ICT [TradingFinder] Market Maker Model PO3 CHoCH/CSID + FVG🔵 Introduction
The MMXM Smart Money Reversal leverages key metrics such as SMT Divergence, Liquidity Sweep, HTF PD Array, Market Structure Shift (MSS) or (ChoCh), CISD, and Fair Value Gap (FVG) to identify critical turning points in the market. Designed for traders aiming to analyze the behavior of major market participants, this setup pinpoints strategic areas for making informed trading decisions.
The document introduces the MMXM model, a trading strategy that identifies market maker activity to predict price movements. The model operates across five distinct stages: original consolidation, price run, smart money reversal, accumulation/distribution, and completion. This systematic approach allows traders to differentiate between buyside and sellside curves, offering a structured framework for interpreting price action.
Market makers play a pivotal role in facilitating these movements by bridging liquidity gaps. They continuously quote bid (buy) and ask (sell) prices for assets, ensuring smooth trading conditions.
By maintaining liquidity, market makers prevent scenarios where buyers are left without sellers and vice versa, making their activity a cornerstone of the MMXM strategy.
SMT Divergence serves as the first signal of a potential trend reversal, arising from discrepancies between the movements of related assets or indices. This divergence is detected when two or more highly correlated assets or indices move in opposite directions, signaling a likely shift in market trends.
Liquidity Sweep occurs when the market targets liquidity in specific zones through false price movements. This process allows major market participants to execute their orders efficiently by collecting the necessary liquidity to enter or exit positions.
The HTF PD Array refers to premium and discount zones on higher timeframes. These zones highlight price levels where the market is in a premium (ideal for selling) or discount (ideal for buying). These areas are identified based on higher timeframe market behavior and guide traders toward lucrative opportunities.
Market Structure Shift (MSS), also referred to as ChoCh, indicates a change in market structure, often marked by breaking key support or resistance levels. This shift confirms the directional movement of the market, signaling the start of a new trend.
CISD (Change in State of Delivery) reflects a transition in price delivery mechanisms. Typically occurring after MSS, CISD confirms the continuation of price movement in the new direction.
Fair Value Gap (FVG) represents zones where price imbalance exists between buyers and sellers. These gaps often act as price targets for filling, offering traders opportunities for entry or exit.
By combining all these metrics, the Smart Money Reversal provides a comprehensive tool for analyzing market behavior and identifying key trading opportunities. It enables traders to anticipate the actions of major players and align their strategies accordingly.
MMBM :
MMSM :
🔵 How to Use
The Smart Money Reversal operates in two primary states: MMBM (Market Maker Buy Model) and MMSM (Market Maker Sell Model). Each state highlights critical structural changes in market trends, focusing on liquidity behavior and price reactions at key levels to offer precise and effective trading opportunities.
The MMXM model expands on this by identifying five distinct stages of market behavior: original consolidation, price run, smart money reversal, accumulation/distribution, and completion. These stages provide traders with a detailed roadmap for interpreting price action and anticipating market maker activity.
🟣 Market Maker Buy Model
In the MMBM state, the market transitions from a bearish trend to a bullish trend. Initially, SMT Divergence between related assets or indices reveals weaknesses in the bearish trend. Subsequently, a Liquidity Sweep collects liquidity from lower levels through false breakouts.
After this, the price reacts to discount zones identified in the HTF PD Array, where major market participants often execute buy orders. The market confirms the bullish trend with a Market Structure Shift (MSS) and a change in price delivery state (CISD). During this phase, an FVG emerges as a key trading opportunity. Traders can open long positions upon a pullback to this FVG zone, capitalizing on the bullish continuation.
🟣 Market Maker Sell Model
In the MMSM state, the market shifts from a bullish trend to a bearish trend. Here, SMT Divergence highlights weaknesses in the bullish trend. A Liquidity Sweep then gathers liquidity from higher levels.
The price reacts to premium zones identified in the HTF PD Array, where major sellers enter the market and reverse the price direction. A Market Structure Shift (MSS) and a change in delivery state (CISD) confirm the bearish trend. The FVG then acts as a target for the price. Traders can initiate short positions upon a pullback to this FVG zone, profiting from the bearish continuation.
Market makers actively bridge liquidity gaps throughout these stages, quoting continuous bid and ask prices for assets. This ensures that trades are executed seamlessly, even during periods of low market participation, and supports the structured progression of the MMXM model.
The price’s reaction to FVG zones in both states provides traders with opportunities to reduce risk and enhance precision. These pullbacks to FVG zones not only represent optimal entry points but also create avenues for maximizing returns with minimal risk.
🔵 Settings
Higher TimeFrame PD Array : Selects the timeframe for identifying premium/discount arrays on higher timeframes.
PD Array Period : Specifies the number of candles for identifying key swing points.
ATR Coefficient Threshold : Defines the threshold for acceptable volatility based on ATR.
Max Swing Back Method : Choose between analyzing all swings ("All") or a fixed number ("Custom").
Max Swing Back : Sets the maximum number of candles to consider for swing analysis (if "Custom" is selected).
Second Symbol for SMT : Specifies the second asset or index for detecting SMT divergence.
SMT Fractal Periods : Sets the number of candles required to identify SMT fractals.
FVG Validity Period : Defines the validity duration for FVG zones.
MSS Validity Period : Sets the validity duration for MSS zones.
FVG Filter : Activates filtering for FVG zones based on width.
FVG Filter Type : Selects the filtering level from "Very Aggressive" to "Very Defensive."
Mitigation Level FVG : Determines the level within the FVG zone (proximal, 50%, or distal) that price reacts to.
Demand FVG : Enables the display of demand FVG zones.
Supply FVG : Enables the display of supply FVG zones.
Zone Colors : Allows customization of colors for demand and supply FVG zones.
Bottom Line & Label : Enables or disables the SMT divergence line and label from the bottom.
Top Line & Label : Enables or disables the SMT divergence line and label from the top.
Show All HTF Levels : Displays all premium/discount levels on higher timeframes.
High/Low Levels : Activates the display of high/low levels.
Color Options : Customizes the colors for high/low lines and labels.
Show All MSS Levels : Enables display of all MSS zones.
High/Low MSS Levels : Activates the display of high/low MSS levels.
Color Options : Customizes the colors for MSS lines and labels.
🔵 Conclusion
The Smart Money Reversal model represents one of the most advanced tools for technical analysis, enabling traders to identify critical market turning points. By leveraging metrics such as SMT Divergence, Liquidity Sweep, HTF PD Array, MSS, CISD, and FVG, traders can predict future price movements with precision.
The price’s interaction with key zones such as PD Array and FVG, combined with pullbacks to imbalance areas, offers exceptional opportunities with favorable risk-to-reward ratios. This approach empowers traders to analyze the behavior of major market participants and adopt professional strategies for entry and exit.
By employing this analytical framework, traders can reduce errors, make more informed decisions, and capitalize on profitable opportunities. The Smart Money Reversal focuses on liquidity behavior and structural changes, making it an indispensable tool for financial market success.
Turtle Soup ICT Strategy [TradingFinder] FVG + CHoCH/CSD🔵 Introduction
The ICT Turtle Soup trading setup, designed in the ICT style, operates by hunting or sweeping liquidity zones to exploit false breakouts and failed breakouts in key liquidity Zones, such as recent highs, lows, or major support and resistance levels.
This setup identifies moments when the price breaches these liquidity zones, triggering stop orders placed (Stop Hunt) by other traders, and then quickly reverses direction. These movements are often associated with liquidity sweeps that create temporary market imbalances.
The reversal is typically confirmed by one of three structural shifts : a Market Structure Shift (MSS), a Change of Character (CHoCH), or a break of the Change in State of Delivery (CISD). Each of these structural shifts provides a reliable signal to interpret market intent and align trading decisions with the expected price movement. After the structural shift, the price frequently pullback to a Fair Value Gap (FVG), offering a precise entry point for trades.
By integrating key concepts such as liquidity, liquidity sweeps, stop order activation, structural shifts (MSS, CHoCH, CISD), and price imbalances, the ICT Turtle Soup setup enables traders to identify reversal points and key entry zones with high accuracy.
This strategy is highly versatile, making it applicable across markets such as forex, stocks, cryptocurrencies, and futures. It offers traders a robust and systematic approach to understanding price movements and optimizing their trading strategies
🟣 Bullish and Bearish Setups
Bullish Setup : The price first sweeps below a Sell-Side Liquidity (SSL) zone, then reverses upward after forming an MSS or CHoCH, and finally pulls back to an FVG, creating a buying opportunity.
Bearish Setup : The price first sweeps above a Buy-Side Liquidity (BSL) zone, then reverses downward after forming an MSS or CHoCH, and finally pulls back to an FVG, creating a selling opportunity.
🔵 How to Use
To effectively utilize the ICT Turtle Soup trading setup, begin by identifying key liquidity zones, such as recent highs, lows, or support and resistance levels, in higher timeframes.
Then, monitor lower timeframes for a Liquidity Sweep and confirmation of a Market Structure Shift (MSS) or Change of Character (CHoCH).
After the structural shift, the price typically pulls back to an FVG, offering an optimal trade entry point. Below, the bullish and bearish setups are explained in detail.
🟣 Bullish Turtle Soup Setup
Identify Sell-Side Liquidity (SSL) : In a higher timeframe (e.g., 1-hour or 4-hour), identify recent price lows or support levels that serve as SSL zones, typically the location of stop-loss orders for traders.
Observe a Liquidity Sweep : On a lower timeframe (e.g., 15-minute or 30-minute), the price must move below one of these liquidity zones and then reverse. This movement indicates a liquidity sweep.
Confirm Market Structure Shift : After the price reversal, look for a structural shift (MSS or CHoCH) indicated by the formation of a Higher Low (HL) and Higher High (HH).
Enter the Trade : Once the structural shift is confirmed, the price typically pulls back to an FVG. Enter a buy trade in this zone, set a stop-loss slightly below the recent low, and target Buy-Side Liquidity (BSL) in the higher timeframe for profit.
🟣 Bearish Turtle Soup Setup
Identify Buy-Side Liquidity (BSL) : In a higher timeframe, identify recent price highs or resistance levels that serve as BSL zones, typically the location of stop-loss orders for traders.
Observe a Liquidity Sweep : On a lower timeframe, the price must move above one of these liquidity zones and then reverse. This movement indicates a liquidity sweep.
Confirm Market Structure Shift : After the price reversal, look for a structural shift (MSS or CHoCH) indicated by the formation of a Lower High (LH) and Lower Low (LL).
Enter the Trade : Once the structural shift is confirmed, the price typically pulls back to an FVG. Enter a sell trade in this zone, set a stop-loss slightly above the recent high, and target Sell-Side Liquidity (SSL) in the higher timeframe for profit.
🔵 Settings
Higher TimeFrame Levels : This setting allows you to specify the higher timeframe (e.g., 1-hour, 4-hour, or daily) for identifying key liquidity zones.
Swing period : You can set the swing detection period.
Max Swing Back Method : It is in two modes "All" and "Custom". If it is in "All" mode, it will check all swings, and if it is in "Custom" mode, it will check the swings to the extent you determine.
Max Swing Back : You can set the number of swings that will go back for checking.
FVG Length : Default is 120 Bar.
MSS Length : Default is 80 Bar.
FVG Filter : This refines the number of identified FVG areas based on a specified algorithm to focus on higher quality signals and reduce noise.
Types of FVG filter s:
Very Aggressive Filter: Adds a condition where, for an upward FVG, the last candle's highest price must exceed the middle candle's highest price, and for a downward FVG, the last candle's lowest price must be lower than the middle candle's lowest price. This minimally filters out FVGs.
Aggressive Filter: Builds on the Very Aggressive mode by ensuring the middle candle is not too small, filtering out more FVGs.
Defensive Filter: Adds criteria regarding the size and structure of the middle candle, requiring it to have a substantial body and specific polarity conditions, filtering out a significant number of FVGs.
Very Defensive Filter: Further refines filtering by ensuring the first and third candles are not small-bodied doji candles, retaining only the highest quality signals.
In the indicator settings, you can customize the visibility of various elements, including MSS, FVG, and HTF Levels. Additionally, the color of each element can be adjusted to match your preferences. This feature allows traders to tailor the chart display to their specific needs, enhancing focus on the key data relevant to their strategy.
🔵 Conclusion
The ICT Turtle Soup trading setup is a powerful tool in the ICT style, enabling traders to exploit false breakouts in key liquidity zones. By combining concepts of liquidity, liquidity sweeps, market structure shifts (MSS and CHoCH), and pullbacks to FVG, this setup helps traders identify precise reversal points and execute trades with reduced risk and increased accuracy.
With applications across various markets, including forex, stocks, crypto, and futures, and its customizable indicator settings, the ICT Turtle Soup setup is ideal for both beginner and advanced traders. By accurately identifying liquidity zones in higher timeframes and confirming structure shifts in lower timeframes, this setup provides a reliable strategy for navigating volatile market conditions.
Ultimately, success with this setup requires consistent practice, precise market analysis, and proper risk management, empowering traders to make smarter decisions and achieve their trading goals.
ICT Turtle Soup | Flux Charts💎 GENERAL OVERVIEW
Introducing our new ICT Turtle Soup Indicator! This indicator is built around the ICT "Turtle Soup" model. The strategy has 5 steps for execution which are described in this write-up. For more information about the process, check the "HOW DOES IT WORK" section.
Features of the new ICT Turtle Soup Indicator :
Implementation of ICT's Turtle Soup Strategy
Adaptive Entry Method
Customizable Execution Settings
Customizable Backtesting Dashboard
Alerts for Buy, Sell, TP & SL Signals
📌 HOW DOES IT WORK ?
The ICT Turtle Soup strategy may have different implementations depending on the selected method of the trader. This indicator's implementation is described as :
1. Mark higher timerame liquidity zones.
Liquidity zones are where a lot of market orders sit in the chart. They are usually formed from the long / short position holders' "liquidity" levels. There are various ways to find them, most common one being drawing them on the latest high & low pivot points in the chart, which this indicator does.
2. Mark current timeframe market structure.
The market structure is the current flow of the market. It tells you if the market is trending right now, and the way it's trending towards. It's formed from swing higs, swing lows and support / resistance levels.
3. Wait for market to make a liquidity grab on the higher timeframe liquidity zone.
A liquidity grab is when the marked liquidity zones have a false breakout, which means that it gets broken for a brief amount of time, but then price falls back to it's previous position.
4. Buyside liquidity grabs are "Short" entries and Sellside liquidity grabs are "Long" entries by default.
5. Wait for the market-structure shift in the current timeframe for entry confirmation.
A market-structure shift happens when the current market structure changes, usually when a new swing high / swing low is formed. This indicator uses it as a confirmation for position entry as it gives an insight of the new trend of the market.
6. Place Take-Profit and Stop-Loss levels according to the risk ratio.
This indicator uses "Average True Range" when placing the stop-loss & take-profit levels. Average True Range calculates the average size of a candle and the indicator places the stop-loss level using ATR times the risk setting determined by the user, then places the take-profit level trying to keep a minimum of 1:1 risk-reward ratio.
This indicator follows these steps and inform you step by step by plotting them in your chart.
🚩UNIQUENESS
This indicator is an all-in-one suit for the ICT's Turtle Soup concept. It's capable of plotting the strategy, giving signals, a backtesting dashboard and alerts feature. It's designed for simplyfing a rather complex strategy, helping you to execute it with clean signals. The backtesting dashboard allows you to see how your settings perform in the current ticker. You can also set up alerts to get informed when the strategy is executable for different tickers.
⚙️SETTINGS
1. General Configuration
MSS Swing Length -> The swing length when finding liquidity zones for market structure-shift detection.
Higher Timeframe -> The higher timeframe to look for liquidity grabs. This timeframe setting must be higher than the current chart's timeframe for the indicator to work.
Breakout Method -> If "Wick" is selected, a bar wick will be enough to confirm a market structure-shift. If "Close" is selected, the bar must close above / below the liquidity zone to confirm a market structure-shift.
Entry Method ->
"Classic" : Works as described on the "HOW DOES IT WORK" section.
"Adaptive" : When "Adaptive" is selected, the entry conditions may chance depending on the current performance of the indicator. It saves the entry conditions and the performance of the past entries, then for the new entries it checks if it predicted the liquidity grabs correctly with the current setup, if so, continues with the same logic. If not, it changes behaviour to reverse the entries from long / short to short / long.
2. TP / SL
TP / SL Method -> If "Fixed" is selected, you can adjust the TP / SL ratios from the settings below. If "Dynamic" is selected, the TP / SL zones will be auto-determined by the algorithm.
Risk -> The risk you're willing to take if "Dynamic" TP / SL Method is selected. Higher risk usually means a better winrate at the cost of losing more if the strategy fails. This setting is has a crucial effect on the performance of the indicator, as different tickers may have different volatility so the indicator may have increased performance when this setting is correctly adjusted.
Turtle Soup IndicatorTurtle Soup Indicator plots a shape when we have a 20-period high or 20-period low.
Turtle Soup Setup
The Turtle Soup setup was published in the book Street Smarts by Laurence A Connors and Linda Raschke. You can learn about it there. It is a great setup for false breakouts or breakdowns in the group failure tests.
Going long
1) We have a new 20-period low
2) that must have occured at least four trading sessions earlier <- this is very important
Then we place a buy stop above 5-10 ticks or 5 to 10 cents above the previous 20-period low.
If filled immediately place a good til cancelled sell stop one tick or one cent below todays low.
Turtle Soup Plus One
Similar to above but occurs one day later. It should close at/below previous 20-period low.
Buy stop at earlier 20 day low. Cancel fi not filled on day 2.
Take partials within 2-6 bars on this one and trail stop rest of position.
Going short
Reverse
Time frames
Works on all timeframes. Only adjust stoplosses accordingly to chosen timeframe.
Settings
You can change the color, shape and placement of the indicator shape. I actually prefer a grey color for both highs and lows as the color actually doesn't add much information. The placement says it all but it is up to you to change this as you like.
Turtle SystemFirst pinescript strategy I've ever written so still learning what is possible.
This strategy is based on the famous turtle system and tried to stay true
to the rules within the confines of what pinescript will allow me to do.
Features:
Green lines represents the 20/55 day highs (configurable)
Red lines represent the 10/20 day lows (configurable)
Purple line represents stop (defaults to 2N away configurable)
Pyramids up to 5 long positions (each 1N away configurable).
Arrows:
Up Arrow Green - 20 day long position entered
Up Arrow Purple - 55 day long position entered
Down Arrow Green - Winning trade exited out.
Down Arrow Red - Losing Trade either stopped out or exited out.
Code tracks successful wins as it is only allowed to enter positions if the last trade was not a wining trade.
One limitation, only supports Long trades although wouldn't be a lot of work to also make it support Short. NASDAQ:AAPL
Love to hear feedback on improvements, particularly to make it more robust.
