All lessons
Sweep or breakout? Wait for a response
Price pokes above the line. Let the next candles tell their part.
Compare rejection and acceptance with a fixed observation deadline.
Our sweep exercise requires a crossing of a known extreme followed by a return inside within two completed candles. The time limit keeps the definition testable.
Our acceptance exercise requires two closes beyond the band. This is an FX SAM convention for comparison, not a universal ICT entry rule.
Either event can fail afterwards. A quick return can reverse again; two closes outside can still be followed by a collapse.
Keep the same level, interval and deadline across examples. A wick does not prove deliberate stop hunting; news and ordinary order flow can look similar.
Let’s work through it
- Mark the reference before revealing the outcome.
- Compare rejection and acceptance with a fixed observation deadline.
- Record the result and the conditions that would reject the idea.
Let’s use numbers · hypothetical example
At reference 120, high 120.4 then close 119.8 within two candles meets our sweep rule. Closes 120.2 and 120.3 meet the separate acceptance rule.
Easy mistakes to watch for
- Mistaken assumption: Two closes above 120.
- Changing the definition after seeing the result.
- Ignoring spread, slippage or the loss limit.
Keep in mind
This is a hypothetical study, not a signal. A chart label cannot identify institutional intentions or guarantee a result; include costs and a predefined loss limit.
Your turn
Classify fifteen crossings before revealing the next ten candles.
A quick check before we move on
Which path meets our sweep definition?
- 120.4 high then 119.8 close within two candles.
- Two closes above 120.
- No interaction with 120.
Check answer
120.4 high then 119.8 close within two candles. The first path crosses the level and returns within the written deadline.
Sources and further reading
Content reviewed: 29 October 2026
Educational material with hypothetical examples. Trading can cause substantial losses. A course, pattern, stop order or past result cannot guarantee a profit or limit every loss. Practise in simulation and check current rules and product terms in your jurisdiction.
