Dynamic Liquidity Clouds [BigBeluga]

Dynamic Liquidity Clouds [BigBeluga] is an indicator that maps resting liquidity pools using volume-weighted nested clouds at swing highs and lows. It solves the problem of static support and resistance by dynamically scaling the width and opacity of Buy-Side Liquidity (BSL) and Sell-Side Liquidity (SSL) zones based on trading volume, then automatically detecting when price sweeps those levels.

The indicator identifies liquidity pools through pivots, draws volume-adaptive cloud layers around them, and tracks when they get swept:

1 — Liquidity Pool Detection

• Pivot Scanning: Uses the Pivot Window to detect swing highs (BSL) and swing lows (SSL).
• Volume Normalization: Calculates the sum of volume across the pivot window and compares it to a 100-bar volume range.
• Dynamic Sizing: The horizontal width of each cloud is scaled by its relative volume, up to the Max Cloud Width (Bars).

2 — Nested Cloud Construction

• Layered Boxes: Builds Cloud Layers Count nested boxes above BSL and below SSL pivots.
• ATR Spacing: The vertical height of each layer is determined by ATR multiplied by the ATR Multiplier, keeping the clouds proportional to volatility.
• Opacity Scaling: Higher-volume pools produce wider clouds with darker, more visible shading.

3 — Sweep Detection

• Sweep Trigger: Monitors the outer boundary of each cloud for a breakout, using either the Close or Wick based on the Sweep Source setting.
• Visual Confirmation: Swept clouds turn gray and their labels update to "BSL ✓" or "SSL ✓" in green, visually confirming the liquidity grab.
• Active Tracking: Un-swept clouds remain active until price reaches their outer boundary or they are pruned from the chart.

Beyond mapping liquidity, the indicator can be applied in several ways:

1. Spot Resting Liquidity: Treat BSL and SSL clouds as magnets where stop losses or breakout orders are likely clustered.
2. Trade Sweeps: Watch for price to pierce the outer boundary of a cloud — a swept cloud (marked with a ✓) often signals a reversal or stop-run.
3. Gauge Pool Strength: Use cloud width as a volume indicator — wider clouds suggest a heavier concentration of resting orders.
4. Adjust Sweep Sensitivity: Switch the Sweep Source to "Close" for stricter confirmation or "Wick" for faster, more aggressive sweep detection.
5. Declutter the Chart: Turn off Show BSL / SSL Labels or reduce the Cloud Layers Count to focus purely on the zones.

Why this implementation is unique:

• Dynamically scales cloud width and opacity based on pivot volume, making high-interest liquidity pools visually distinct.
• Uses a nested box design to create a "cloud" effect that better illustrates the depth of liquidity rather than a single flat line.
• Automatically tracks and visually confirms sweeps, turning active zones gray and updating labels with a green checkmark.
• Fully customizable pivot windows, ATR scaling, sweep triggers, and color palettes to match any market or chart theme.

This indicator is provided for educational and informational purposes only and does not constitute financial, investment, or trading advice. Trading and investing in financial markets involve substantial risk of loss and are not suitable for every investor. Past performance is not indicative of future results. Always perform your own research, use proper risk management, and consult a licensed financial advisor before making any trading decisions. The author assumes no responsibility for any losses incurred from the use of this tool.