How it is calculated

A bullish candle whose body (close minus open) is more than min_body times the ATR (Wilder, atr_length) at that candle, and which is the middle candle of a bullish gap as in fvg (the next candle's low above the high before it, at least min_size ATRs). Bearish mirrors this. up and down are 1 on the bar after the candle, which completes the gap; high, low and body_atr hold the last one's.

Reference: ICT liquidity concepts, from public descriptions (#546)

How to read it

The flag comes one bar after the large candle, because only the next candle shows whether it left a gap; it is never set earlier. high and low frame the candle that displaced price, a reference for entries on the retrace.

In a strategy

Trade with the displacement: when d = ctx.ind("displacement", min_body=1.5) has d.up of 1, look for longs on a pullback toward d.low.

Inputs

Input	Type	Default	Range or choices
ATR length`atr_length`	Whole number	`14`	min 1, max 500
Minimum size (ATR)`min_size`	Number	`0.25`	min 0, max 10
Minimum body (ATR)`min_body`	Number	`1`	min 0, max 10

What it draws

Line	Drawn as
Candle high	Steps
Candle low	Steps

Used in

No strategy template reads it yet.