Liquidity sweep trading

A liquidity sweep occurs when price pushes beyond a clear swing high or low to trigger resting stop-loss orders or breakout entries, only to reverse sharply in the opposite direction. Traders typically wait for a confirmation candle—such as a strong engulfing or pin bar close back inside the previous range—before entering. When trading this strategy on a prop account, patience is crucial. Sweeps often happen during high-impact news releases or volatile market opens, where spread widening can catch you off guard. Always keep an eye on your daily loss limits and avoid over-leveraging just because a setup looks clean. How do you usually filter out false breakouts during your confirmation checks? Feel free to share your approach below!