Documentation

What Absorption Key Levels Is

Absorption Key Levels is a TradingView orderflow indicator that uses footprint rows to detect absorption-style activity inside each candle and convert it into extend-until-touch key levels. It is built to highlight where heavy volume traded with unusually low delta, which often signals aggressive orderflow being absorbed by resting liquidity.

Absorption Key Levels is built to answer one core question:

“When a high-participation absorption row forms, where is the defended price level — and how does price react when it revisits it?”

What Absorption Key Levels Does

Absorption Key Levels continuously:

• Reads footprint rows within each candle using request.footprint.

• Evaluates each row using a delta-percentage filter (low relative delta).

• Optionally applies absolute and/or relative row-volume filters.

• Selects up to N strongest rows per candle (ranked by row volume).

• Draws:

  • A subtle row box on the candle where absorption was detected.

  • An optional ABS label clamped inside the candle.

  • A horizontal key level at the absorption row midpoint.

  • A gradient glow band around the level to enhance visibility.

• Extends the key level forward in time until it is touched by price, then freezes it.

• Optionally prints wick rejection triangles when price wicks into a level and closes back on the same side.

• Supports alerts when rejection triangles are printed.

Core Concepts

Absorption Rows

An absorption row is defined here as a footprint row with:

• Meaningful volume, and

• Low delta relative to that volume

Low relative delta means buyers and sellers are both active at that price, but net imbalance is small — a common footprint signature of absorption or liquidity defense.

Delta Percentage Filter

The key rule is:

• abs(delta) / total_volume <= Max Delta

Lower Max Delta values produce fewer but cleaner absorption rows. Higher values produce more signals but can include normal trading activity.

Extend-Until-Touch Key Levels

When a qualifying absorption row is found, its midpoint becomes a level that:

• Extends forward bar-by-bar

• Stops extending the moment price touches it (high/low crosses it)

• Remains visible as a historical reference afterward

Wick Rejection Triangles

A wick rejection is printed when price probes a level but closes back on the same side:

• Bull rejection: candle opens and closes above the level, but wicks below it

• Bear rejection: candle opens and closes below the level, but wicks above it

These triangles are designed as “defense confirmation” markers when a prior absorption level holds.

How To Use Absorption Key Levels

A Practical Workflow

1. Start With Clean Filters
   Enable Confirmed Only to avoid intrabar repainting. Keep Max Delta conservative (e.g., 10–20).

2. Control Signal Density
   If you see too many boxes/levels, reduce Max Absorption Rows and/or raise volume thresholds.

3. Use Levels As Location, Not A Strategy
   Treat absorption levels as reaction zones. Wait for structure, sweep behavior, or rejection confirmation.

4. Use Wick Rejections As Triggers
   If you need a clear “go/no-go” signal, enable wick rejections and use the triangles (and alerts).

Signal Behavior

• Absorption levels are created from the strongest qualifying rows in each candle.

• Levels extend until first touch; after that they freeze.

• Rejection triangles can appear on the touch candle if conditions match.

• With Confirmed Only enabled, detection and rejection printing are performed only on closed bars.

  
  

Settings Reference

🔎 Footprint

Footprint Ticks

Footprint row height in ticks. Higher values reduce detail but improve stability and performance.

🧲 Absorption Detection

Confirmed Only

Calculates absorption rows only on confirmed (closed) candles. Reduces repainting on live candles.

Toggle Absolute Min Value

When enabled, a row must meet the absolute minimum total volume threshold.

Min Row Volume

Minimum total volume required for a row to qualify when the absolute filter is enabled.

Toggle Relative Volume

When enabled, a row must meet a relative volume threshold based on moving average context.

Volume MA Length

Lookback length used to calculate the moving average threshold for relative volume filtering.

Volume MA Mult

Multiplier applied to the moving average threshold. Higher values require more exceptional row volume.

Max Delta

Maximum allowed absolute delta as a percent of row total volume. Lower values focus on absorption-style balance.

Max Absorption Rows

Maximum number of qualifying absorption rows selected per candle (highest-volume rows first).

🔻 Wick Rejection

Show Wick Rejection

Prints wick rejection triangles when price probes a level and closes back on the same side.

Confirmed Only

If enabled, rejection triangles are printed only on confirmed candles.

🎨 Visuals

Absorption (buy-leaning) Color

Base color for buy-leaning absorption rows (positive delta).

Absorption (sell-leaning) Color

Base color for sell-leaning absorption rows (negative delta).

Absorption (neutral) Color

Base color for neutral absorption rows (near-zero delta).

Row Box Transparency

Transparency of the candle row box overlay.

Level Width

Line width of the absorption key level.

Show 'ABS' Label

Shows the ABS label on detected absorption rows (clamped inside the candle range).

Max Absorption Tracked

Maximum number of levels stored. Oldest levels are deleted when the limit is exceeded.

Alerts

Absorption Key Levels can fire alerts when wick rejection triangles are printed:

• Bullish wick rejection (triangle up)

• Bearish wick rejection (triangle down)

These are useful for:

• Notifications

• Webhook routing

• Automated execution workflows

Notes & Limitations

• This indicator requires a TradingView Premium or Ultimate subscription because it uses the Footprint API (request.footprint).

• Footprint data availability depends on symbol, timeframe, and plan support.

• Heavy charts can hit TradingView object/CPU limits. If performance drops, reduce:

  • Max Absorption Tracked

  • Max Absorption Rows

  • Visual extras (labels/rejections)

This indicator is provided for educational and informational purposes only.

Nothing in this script should be interpreted as financial advice, investment advice, or a recommendation to buy or sell any financial instrument.

Trading financial markets involves substantial risk, and you are solely responsible for your own trading decisions.