Supply and demand zones are key areas on a price chart where significant buying or selling has occurred in the past, causing a noticeable price movement. These areas are identified as potential points of interest for traders because they often lead to market reversals or consolidations.

Supply Zone:

• A supply zone is an area where selling pressure has historically been strong enough to drive the price down.
• It represents a resistance level where there is a surplus of sellers.
• Traders look at supply zones to anticipate where the price might reverse or slow down during an uptrend.

Demand Zone:

• A demand zone is an area where buying pressure has historically been strong enough to drive the price up.
• It represents a support level where there is a surplus of buyers.
• Traders look at demand zones to anticipate where the price might reverse or slow down during a downtrend.

The Zone Vault is a tool for traders to import, manage, and visualize supply and demand zones directly on a chart in a dynamic and flexible way. Here’s what it does:

• Imports Supply and Demand Zones: Traders can paste a list of predefined zones into the indicator, and it will automatically parse and display them.
• Dynamic Visualization: It draws the zones as horizontal areas on the chart, marking important price levels where buying or selling pressure might be strong.
• Customizable: Allows traders to adjust the colors, transparency, and other visual aspects to fit their preferences or charting style.
• Efficient Zone Management: Instead of manually drawing zones for multiple tickers, this tool lets traders manage a large “library” of zones for multiple assets in one place.

Think of the Zone Vault as a database of price levels that traders consider significant, visually displayed to help guide their trading decisions.