OPEN-SOURCE SCRIPT
PDH/PDL + Absorption ("Iceberg" Proxy)
Plots prior-day high/low and flags potential absorption (iceberg-style) activity at those levels: bars with abnormally high volume but abnormally tight range, occurring near a key level. High volume with little price movement suggests large resting orders are absorbing aggression without letting the level break — a classic footprint ahead of either a rejection or an eventual breakout once the absorbed side gives up.
What it plots
- Prior Day High (red line) / Prior Day Low (green line)
- Optional Premarket High/Low (orange/blue circles, 4:00–9:30 ET, off by default)
- Fuchsia triangle + "ABS" label with volume printed, on any bar flagged as absorption
Signal logic
A bar is flagged when all conditions are met:
1. Volume > user-defined multiple of its N-bar average (default 1.8x over 20 bars)
2. Range (high−low) < user-defined multiple of its N-bar average (default 0.6x over 20 bars)
3. (Optional, on by default) Close is within a user-defined tolerance of PDH or PDL
Inputs
- Show Prior Day High/Low — toggle
- Show Premarket High/Low — toggle
- Level Proximity Tolerance (points) — how close price must be to PDH/PDL to qualify; scale this to your instrument's typical range (tighter for MES/M2K, wider for ES/RTY)
- Volume Lookback / Range Lookback (bars) — averaging windows
- Volume Threshold (x average) — higher = rarer, stronger signals
- Range Threshold (x average) — lower = requires tighter compression
- Only Flag Near PDH/PDL — restrict signal to key levels vs. anywhere on chart
How to use it
This is a confirmation tool, not an entry trigger. An ABS flag at PDH/PDL means volume is being absorbed at that level without a clean break — treat it as "this level is being defended right now." Wait for the next bar(s) to resolve:
- Close pushes through the level on continued volume → likely real break, absorption failed
- Price rejects back away from the level → absorption held, fade back into range
An alert condition ("Absorption/Iceberg Detected") is included — right-click the indicator on the chart → Add Alert to get notified instead of watching manually.
Notes
- PDH/PDL are computed via request.security on the daily timeframe with lookahead_off, so they won't repaint.
- Defaults are a reasonable starting point, not calibrated to any specific instrument — backtest/observe before trusting the thresholds on a new symbol.
- Not a "true" iceberg indicator because it infers absorption from OHLCV (high volume + tight range) rather than reading the actual order book, so it can't confirm a hidden order exists — but it's a useful free proxy for spotting "high effort, low result" zones worth watching, especially layered with PDH/PDL, VWAP, or GEX levels.
What it plots
- Prior Day High (red line) / Prior Day Low (green line)
- Optional Premarket High/Low (orange/blue circles, 4:00–9:30 ET, off by default)
- Fuchsia triangle + "ABS" label with volume printed, on any bar flagged as absorption
Signal logic
A bar is flagged when all conditions are met:
1. Volume > user-defined multiple of its N-bar average (default 1.8x over 20 bars)
2. Range (high−low) < user-defined multiple of its N-bar average (default 0.6x over 20 bars)
3. (Optional, on by default) Close is within a user-defined tolerance of PDH or PDL
Inputs
- Show Prior Day High/Low — toggle
- Show Premarket High/Low — toggle
- Level Proximity Tolerance (points) — how close price must be to PDH/PDL to qualify; scale this to your instrument's typical range (tighter for MES/M2K, wider for ES/RTY)
- Volume Lookback / Range Lookback (bars) — averaging windows
- Volume Threshold (x average) — higher = rarer, stronger signals
- Range Threshold (x average) — lower = requires tighter compression
- Only Flag Near PDH/PDL — restrict signal to key levels vs. anywhere on chart
How to use it
This is a confirmation tool, not an entry trigger. An ABS flag at PDH/PDL means volume is being absorbed at that level without a clean break — treat it as "this level is being defended right now." Wait for the next bar(s) to resolve:
- Close pushes through the level on continued volume → likely real break, absorption failed
- Price rejects back away from the level → absorption held, fade back into range
An alert condition ("Absorption/Iceberg Detected") is included — right-click the indicator on the chart → Add Alert to get notified instead of watching manually.
Notes
- PDH/PDL are computed via request.security on the daily timeframe with lookahead_off, so they won't repaint.
- Defaults are a reasonable starting point, not calibrated to any specific instrument — backtest/observe before trusting the thresholds on a new symbol.
- Not a "true" iceberg indicator because it infers absorption from OHLCV (high volume + tight range) rather than reading the actual order book, so it can't confirm a hidden order exists — but it's a useful free proxy for spotting "high effort, low result" zones worth watching, especially layered with PDH/PDL, VWAP, or GEX levels.
Script open-source
Nello spirito di TradingView, l'autore di questo script lo ha reso open source, in modo che i trader possano esaminarne e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricordiamo che la ripubblicazione del codice è soggetta al nostro Regolamento.
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.
Script open-source
Nello spirito di TradingView, l'autore di questo script lo ha reso open source, in modo che i trader possano esaminarne e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricordiamo che la ripubblicazione del codice è soggetta al nostro Regolamento.
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.