Supply and Demand Zones and Structure Breaks, Explained Simply

"Smart money" tools can sound complicated. The ideas behind them are simple: price tends to react where big orders were placed before, and trends change when price breaks through recent swings.

Demand and supply zones

A demand zone is the candle where buyers last stepped in before price broke above a swing high. A supply zone is the mirror: where sellers stepped in before price broke a swing low.

In Pro Signals V5, a zone dims once price comes back to test it, and is removed once price closes through it. Your chart only shows zones that still matter.

Price gaps

A price gap is a space between candles where price moved so fast that little traded. Price often comes back to fill it. Pro Signals V5 removes each gap once it's filled.

Structure breaks: Break vs. Shift

When price closes beyond the last swing high or low, Pro Signals V5 draws a dashed line and a mark:

Putting it together with signals

A BUY that prints near demand, after a Shift up, with open space to the next supply zone is a cleaner plan than one printed straight into supply. Check where your targets sit against these zones.

Full details: Smart Money & Key Levels.

SimpleAlgo provides educational tools and chart analysis. Nothing here is financial advice. Trading involves substantial risk of loss, and past performance does not guarantee future results.