# Supply & Demand Zones

> Marks supply and demand zones at indecision candles followed by a strong candle and keeps each zone until price has traded through its whole range.

Updated: 2026-10-25T01:30:08.000Z · https://chartrider.com/docs/indicators/supply-demand-zones/

## What you see
Boxes labelled "Demand Zone" (Demand Color) and "Supply Zone" (Supply Color). Each box covers the high-to-low range of one indecision candle and starts at that candle. While the zone is open it extends to the right edge of the chart; once price has worked through the whole zone, the box ends at that candle and the label adds "(mitigated)".

## How it works
A zone needs three things:
- an indecision candle: a small body compared with its high-low range (at most Max body/range for indecision),
- directly followed by a strong candle: a large body compared with its range (at least Min body/range for strong). A strong bullish candle creates a demand zone, a strong bearish candle a supply zone,
- calm price action before it: no fair value gap was completed on the Efficient Range Window candles before the indecision candle. A gap counts on the candle that completes it, in either direction and of any size – the settings of the ICT FVG indicator don't apply. A window of 0 turns this check off.

A zone counts as mitigated once the candles that entered it have, together, covered its full range – a single touch is not enough.

## How to read it
Demand zones mark where buyers took over after a pause, supply zones where sellers did. Open zones are the ones still in play: when price returns to them, traders watch for a reaction in the direction of the original move. Mitigated zones are shown for reference only.

Stricter ratios – a smaller indecision value and a larger strong value – give fewer, cleaner zones. A longer Efficient Range Window only accepts zones that form after quiet, balanced trading.

## Using it in strategies
Supply & Demand Zones is a visual tool: it has no outputs for the [Trade Setup](https://chartrider.com/docs/strategies/trade-setup/) or for `use indicator` in [WickScript](https://chartrider.com/docs/wickscript/).

## Settings

Open the settings with the slider icon next to the indicator (Indicators, `F3`). Numeric settings can be swept as Step 1 / Step 2 parameters when you run a strategy.

### Inputs

| Setting | Type | Default | Description |
|---|---|---|---|
| Efficient Range Window | Number | `3` | Number of candles before the indecision candle on which no fair value gap (any size, either direction) may have been completed; 0 turns the check off. (min 2) |
| Max body/range for indecision | Number | `0.3` | Largest body-to-range ratio that still counts as an indecision candle (0.3 = body at most 30 % of the candle's range). (min 0.1) |
| Min body/range for strong | Number | `0.7` | Smallest body-to-range ratio of the strong candle that follows (0.7 = body at least 70 % of its range). (min 0.5) |

### Styles

| Setting | Type | Default | Description |
|---|---|---|---|
| Supply Color | Color | `#ff9c2b80` |  |
| Demand Color | Color | `#42d99d80` |  |

## Outputs

This indicator draws on the chart only – it has no values for Trade Setup gates or `use indicator`.
