A sharp push past an obvious high or low to trigger clustered stop-losses, then a snap back the other way.
Stop-losses and pending orders pile up just beyond obvious swing highs and lows. A liquidity sweep (or stop hunt) is when price spikes through that level, fills those orders, then quickly reverses — the move was about grabbing liquidity, not a genuine breakout.
It often marks a turning point: once the stops are taken, price frequently reverses hard in the opposite direction. A sweep of sell-side liquidity (below a low) can precede a rally, and vice-versa.
Look for a quick wick or false break just beyond a clear high/low, immediately followed by a close back inside the range. The failed-breakout-plus-reversal is the tell.
Not every break is a sweep — some are real breakouts. The reversal and close back inside is what distinguishes a sweep, and it is a proxy read, not a look at a real order book.
Reading a definition is step one. Chart Bound drills you on spotting Liquidity Sweep / Stop Hunt and dozens of other setups on live candles, and the Daily gives you one fresh chart to read every day. Free to start.