Tools / 04 Execution
Find the price where aggression stopped working. Absorption Pro marks the levels where aggressive orders hit a passive wall on your Sierra Chart footprint and price failed to move through.
2:52
The same idea measured over three horizons: heavy volume on one side, little or no progress in price.
One bar trades far more volume on one side than the other, yet closes without extending in that direction.
Several absorption hits cluster inside a few ticks over the last bars. One hit can be noise; repeated hits in the same zone are a level someone is defending.
Absorption keeps showing up at the same level over a longer window while price makes no progress beyond it.
An absorption shows a level being defended. Whether you trade it depends on context and on what happens next.
The study does not manage orders. Your risk plan stays yours.
Absorption against the trend at a key level is not the same event as absorption in the middle of nowhere. That is what steps 01 to 03 are for.
These are the values I trade with. You can adjust them in Study Settings; the install video explains each one.
| Setting | Default | What it controls |
|---|---|---|
| Detection | ||
| Abs Min Bar Volume | 400 | Minimum bar volume before a bar can count as absorption. |
| Abs Factor | 1.5 | How much heavier the absorbed side must be. |
| Abs Factor Bid Ask | 1.05 | Bid/ask ratio threshold at the absorbed price. |
| Block | ||
| Block Bars Lookback | 15 | How many recent bars are scanned for clustered hits. |
| Block Min Hits | 3 | Hits needed to form a block. |
| Block Ticks | 4 | Maximum height of the block zone, in ticks. |
| Macro | ||
| Macro Bars Lookback | 30 | Window used to find a structural level. |
| Macro Min Hits | 3 | Hits needed at the same level. |
| Macro Tolerance Ticks | 4 | How close hits must be to count as the same level. |
| Macro Progression Ticks | 4 | Maximum price progress allowed beyond the level. |