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Lesson 08 of 17 Equal Highs
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ICT CONCEPTS
08 17

ICT / SMC Concepts · Lesson 08

Equal Highs

Learn how repeated highs around the same price level can reveal an important area in market structure.

  • Beginner
  • Interactive charts
  • Lesson 08
01

What Are Equal Highs?

Equal Highs happen when price forms a meaningful swing high, and later returns to about the same price area without clearly going above it.

In the framework the source uses, traders read the repeated high as a bearish or resistance-related clue. It may mark an area of interest. It does not guarantee a reversal.

Your First Equal Highs

Price rallies, pulls back, rallies again, then turns lower. Nothing is marked yet.

Educational example

Constructed teaching data, not real market data.
02

How to Identify Equal Highs

  1. Step 1: Find a meaningful swing high.
  2. Step 2: Wait for price to move away from that high.
  3. Step 3: Watch price return and form another high near the same level.

Start with the first swing high. Price moves away. Now watch the second rally. If the second high forms near the first, that gives us Equal Highs.

Educational values
FIRST HIGH103.00
SECOND HIGH102.95
DIFFERENCE0.05
HIGH 1 ≈ HIGH 2≈ SAME AREA
03

Do the Highs Need to Be Identical?

No. Two highs can still count as approximately equal if one is slightly higher or lower. The goal is not perfect numbers. It is seeing that price tested roughly the same structural area.

Valid EQH 100.0099.95

High 1: 100.00. High 2: 99.95. The same area.

Not really EQH 100.0097.50

High 1: 100.00. High 2: 97.50. A different area.

Would You Classify This as Equal Highs?

Look at both examples. Decide first, then read the answer under the chart.

Educational example

There is no strict numeric rule here. It is about the same structural area.
04

Not Every Candle High Counts

The first high should be a meaningful swing high. A tiny wick inside noisy price should not automatically be marked as an EQH.

Meaningful swing high SWING HIGH

A visible rally, then a visible turn.

Random candle high JUST A WICK

A small wick inside noise.

05

What Might Happen Next?

Equal Highs mark an area where price has struggled to move higher. Several things can happen from there:

Rejection lowerPrice turns down from the area.
ConsolidationPrice stalls for a while.
Breakout abovePrice closes clearly above the highs.
Another retestPrice comes back to the area again.

Two Possible Outcomes

The same Equal Highs. Two different endings.

Educational example

The candles are identical until the second high. Only what follows differs.
!

Common Mistakes

Forcing perfect equality

Correction: The highs only need to form around the same area.

Marking every small high

Correction: Focus on meaningful swing highs.

Assuming EQH means automatic reversal

Correction: Price can still break above the highs.

Using EQH as an entry by itself

Correction: Treat it as market information, not certainty. The source also suggests looking for extra context.

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Knowledge Check

Knowledge check

Check 1

A clear swing high, a pullback, then a second high at about the same level. Are these Equal Highs?

Knowledge check

Check 2

The second high is significantly lower than the first. Would this normally be considered Equal Highs?

Knowledge check

Check 3

Do Equal Highs guarantee that price will reverse lower?

★

Your Turn

Can You Find the Equal Highs?

Three candidate highs are lettered. Nothing else is marked.

Educational example

Which two highs form the EQH?

Pick a pair to reveal High 1, High 2 and the EQH line.

How to find Equal Highs

  1. Step 1: Find a clear swing high.
  2. Step 2: Wait for price to move away.
  3. Step 3: Watch price return.
  4. Step 4: Compare the new high with the first.
  5. Step 5: If they are around the same area, mark EQH.
06

Where Can Equal Highs Appear?

On any timeframe. The source notes that shorter timeframes may suit intraday traders, while hourly and daily charts may matter more to swing traders. No single timeframe is best for everyone.

1m5m15m 1H4HDaily
✓

What You Learned

  • Equal Highs are two meaningful highs around the same price area.
  • The highs do not need to be perfectly identical.
  • The first high should be a real swing high.
  • EQHs may highlight resistance or an important structural area.
  • Equal Highs do not guarantee a bearish reversal.
Key rule

SWING HIGH + RETEST NEAR SAME HIGH = EQUAL HIGHS. An area of interest, not a guaranteed reversal.

Equal HighsSWING HIGH
+ RETEST NEAR SAME HIGH
= EQUAL HIGHS
RememberEQUAL HIGHS
= AREA OF INTEREST
≠ GUARANTEED REVERSAL

The whole lesson in one picture

HIGH 1HIGH 2 EQH AREA ↓ AREA OF INTEREST ↓ REJECTION OR BREAKOUT

All lessons

01Fair Value Gaps 02Inversion Fair Value Gaps 03Order Blocks 04Breaker Blocks 05Break of Structure 06Change of Character 07Change of Character Plus 08 · You are hereEqual Highs 09Equal Lows 10Liquidity 11Liquidity Grabs 12Premium & Discount Zones 13Propulsion Blocks 14Liquidity Sweeps 15Change in State of Delivery 16Balanced Price Range 17Breakaway Gap

Further reading

Educational content only — not investment advice. Equal Highs are an ICT / SMC interpretation of price, not a proven market law. The source describes them as a bearish clue but recommends extra context and not using them alone. All charts use constructed, illustrative data.