Swing High

A swing high is a peak in price action where a candle (or bar) reaches a higher high than the candles immediately before and after it, forming a visible local peak on the chart. In technical analysis, swing highs serve as reference points for identifying trend direction, drawing resistance levels, and placing stop-losses for short positions. In an uptrend, a series of progressively higher swing highs confirms bullish market structure. When a new swing high fails to exceed the previous one (a lower high), it can signal weakening momentum and a potential trend reversal. Swing highs are foundational reference points in price action trading, Elliott Wave analysis, Fibonacci retracement measurement, and Smart Money Concepts structure analysis.