Equal Highs & Equal Lows

Equal highs (EQH) and equal lows (EQL) are two or more swing points sitting at approximately the same price — not necessarily identical to the tick, just close enough that the market has repeatedly failed to close meaningfully beyond that level. Each failed attempt leaves behind a cluster of resting orders: stop-losses from traders positioned against that level, and breakout orders from traders waiting for it to give way.

The more times a level gets tested without breaking, the larger that resting-order cluster tends to get — which is exactly why equal highs and equal lows are the textbook setup traders point to when describing a liquidity sweep: price pushes just beyond the level, those resting orders trigger, and the move often reverses shortly after. The level being "equal" isn't what causes the reversal — it's what makes the order cluster large enough to be worth targeting in the first place.