📈 ICT Core Concepts - Market Structure & Liquidity

Learn the fundamentals of ICT methodology including market structure and liquidity

🎯 Order Blocks, FVG & Premium/Discount Arrays

Master Order Blocks, Fair Value Gaps, and premium vs discount zones

⏰ Kill Zones, Silver Bullet & Judas Swing

Learn trading windows, silver bullet times, and Judas Swing patterns

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📚 Trading Glossary

Master ICT concepts and professional trading terminology

📖 50+ Terms

🎯 ICT Concepts

📊 Pro Trading

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⟳ RESET

📈 AMD ICT Concept

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Accumulation, Manipulation, Distribution - The 3-phase market cycle where institutions accumulate positions, manipulate price to trigger stops, then distribute to retail traders.

📌 Example: Price sweeps a low (Manipulation) then rallies to new highs (Distribution after Accumulation).

ICTMarket StructureSmart Money

🔨 Breaker Block ICT Concept

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A failed Order Block that gets taken out, then acts as support/resistance in the opposite direction. When an OB is broken, it becomes a Breaker.

📌 Example: Bullish OB gets broken → becomes Bearish Breaker Block.

ICTOrder BlockSMC

🔄 Change in State of Delivery (CHoCH) ICT Concept

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A structural market shift where price breaks a swing high/low, indicating a potential trend reversal. Confirms that market direction is changing.

📌 Example: Price breaks above previous high → Bullish CHoCH confirmed.

ICTMarket StructureTrend Change

💲 Discount / Premium Arrays ICT Concept

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Discount = Lower 50% of a range (buy zone). Premium = Upper 50% of a range (sell zone). Institutions buy in discount and sell in premium.

📌 Example: Buy at 0.618-0.705 Fibonacci retracement (Discount Zone).

ICTFibonacciSmart Money

📊 Expansion Market Phase

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The impulsive move after a liquidity sweep. Price expands away from the range to hunt opposing liquidity or reach targets.

📌 Example: After sweeping a low, price expands 50+ points to the upside.

ICTMomentumPrice Action

🎯 Fair Value Gap (FVG) ICT Concept

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A 3-candle imbalance where the middle candle's wick doesn't fully overlap the surrounding candles' bodies. Represents inefficiency that price may return to fill.

📌 Example: Bullish FVG forms → price often retraces to fill the gap before continuing up.

ICTImbalanceSMC

⬜ Gap Technical

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A price void between closing and opening prices. Common gaps: Breakaway, Runaway, Exhaustion. Often get filled.

📌 Example: Monday opening price gaps above Friday's close → often retraces to fill the gap.

TechnicalPrice Action

🛡️ High Resistance Run (HRR) ICT Concept

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Price moves aggressively through key levels without stopping, indicating institutional momentum. Often precedes a reversal.

📌 Example: Price blows through 3 resistance levels in 5 minutes → potential exhaustion incoming.

ICTMomentumLiquidity

🔄 Inversion Fair Value Gap (IFVG) ICT Concept

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When price returns to fill an FVG but fails to close beyond it, creating a rejection. Used as confirmation for reversal trades.

📌 Example: Price enters bullish FVG but wicks out → bearish reversal signal.

ICTFVGReversal

🃏 Judas Swing ICT Concept

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A false breakout that traps traders before a violent reversal. Price briefly breaks a key level then reverses sharply.

📌 Example: Price dips below support by 2 points, then rallies 50 points higher.

ICTLiquidityTraps

⏰ Kill Zone ICT Concept

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Specific high-probability trading windows: London Kill Zone (2-5 AM EST), AM Kill Zone (8-10 AM EST), PM Kill Zone (12-3 PM EST).

📌 Example: Best trades often occur during 8:30-10:00 AM EST (AM Kill Zone).

ICTTimingSession

💧 Liquidity ICT Concept

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Sets of stop losses and pending orders. Institutions hunt liquidity (sweep highs/lows) before reversing. Buy-side = above highs, Sell-side = below lows.

📌 Example: Price sweeps a previous high (buy-side liquidity) then drops.

ICTSmart MoneyStop Hunt

🛠️ Mitigation Block ICT Concept

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An Order Block that has been touched or "mitigated" but not fully broken. Still holds as support/resistance.

📌 Example: Price touches a bullish OB and bounces (mitigated, still valid).

ICTOrder BlockSMC

🗽 New York Session Trading Session

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8:00 AM - 5:00 PM EST. Most volatile session with highest volume. 9:30 AM EST open often provides Judas Swing opportunities.

📌 Example: Best NY session trades occur at 8:30 AM (economic data) and 9:30 AM (market open).

SessionHigh VolumeVolatility

🏛️ Order Block (OB) ICT Concept

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The last candle before a strong impulsive move. Represents where institutions placed large orders. Acts as support/resistance.

📌 Example: Bullish OB = last down candle before strong up move.

ICTSMCSupport/Resistance

📐 Premium / Discount Arrays ICT Concept

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Using Fibonacci retracement: Premium = above 0.705 (sell zone), Discount = below 0.5 (buy zone). Optimal entries at 0.618-0.705 for sells, 0.5-0.382 for buys.

📌 Example: Sell at 0.705 Fibonacci retracement (Premium Zone).

ICTFibonacciEntry Zone

📅 Quarterly Theory ICT Concept

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Market cycles divided into quarters: Q1 (January-March), Q2 (April-June), Q3 (July-September), Q4 (October-December). Each quarter has distinct characteristics.

📌 Example: Q4 often has end-of-year rallies (Santa Claus rally).

ICTCycleSeasonal

📈 Rally Base Rally (RBR) ICT Concept

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Bullish market structure pattern: Rally up → Base/Consolidation → Another Rally up. Indicates institutional accumulation.

📌 Example: Price rallies 20 points, consolidates, then rallies another 30 points.

ICTMarket StructureBullish

🔫 Silver Bullet ICT Concept

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Specific 1-hour window within Kill Zones where high-probability setups occur. 10-11 AM EST (AM Silver Bullet) and 2-3 PM EST (PM Silver Bullet).

📌 Example: Best reversal trades often happen during 10-11 AM EST Silver Bullet.

ICTTimingHigh Probability

⏱️ Time & Price ICT Concept

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The convergence of key price levels and specific trading times. When a key level is hit during a Kill Zone, probability increases significantly.

📌 Example: FVG at 18,700 hit at 10:15 AM (Silver Bullet) → high-probability setup.

ICTConfluenceSetup

🦄 Unicorn ICT Concept

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A rare, high-confluence setup where multiple ICT concepts align: Order Block + FVG + Liquidity Sweep + Kill Zone timing.

📌 Example: OB in discount zone + FVG + liquidity sweep during AM Kill Zone.

ICTHigh ProbabilityConfluence

📊 Volume Imbalance Technical

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Large difference between buying and selling volume. Often indicates institutional activity. Low volume = consolidation, High volume = expansion.

📌 Example: High volume spike on breakout = confirmation.

TechnicalVolumeConfirmation

📚 Wyckoff Method Classic Theory

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Market cycle theory: Accumulation → Markup → Distribution → Markdown. ICT concepts are modern adaptations of Wyckoff.

📌 Example: AMD (Accumulation, Manipulation, Distribution) is derived from Wyckoff.

ClassicMarket CycleWyckoff

📐 XABCD Pattern (Harmonic) Harmonic Pattern

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Harmonic patterns (Gartley, Bat, Crab, Butterfly) that use Fibonacci ratios to predict reversals. Points X, A, B, C, D mark price swings.

📌 Example: Bullish Bat pattern completes at 0.886 retracement of XA.

HarmonicFibonacciReversal

📅 Yesterday's High/Low Technical

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Key liquidity levels. Price often sweeps yesterday's high or low before reversing. Used as target or stop loss placement.

📌 Example: Price sweeps yesterday's high → potential short entry.

TechnicalLiquidityKey Level

📉 Zero Lag MACD Indicator

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Modified MACD with reduced lag. Helps identify momentum shifts earlier than standard MACD. Used with ICT concepts for confirmation.

📌 Example: Zero Lag MACD crosses above zero → bullish momentum confirmation.

IndicatorMomentumConfirmation

Monday, August 4, 2025

Lumi Trades ICT Gold Strategy Guide Step-by-Step Process

ICT Gold Strategy Guide

1. Step-by-Step Process

Identify HTF Trend: Confirm trend on weekly/daily/4H charts
Spot HTF Levels: Mark order blocks/FVGs on hourly/30M/15M
Wait for Potential Sweep:
- 30M PS → Switch to 3M chart
- Hourly PS → Switch to 5M chart
Entry Trigger: Enter at next candle open after order block break
Risk Management: SL at swing high/low, TP at 2R

2. Entry & Exit Logic

Entry: Close beyond order block + next candle open

Exit: TP at 2R, SL at swing high/low

3. A+ Setup

HTF trend + liquidity sweep + lower-TF confirmation

4. Common Mistakes

Trading without HTF alignment → Always check weekly/daily first
Entering mid-candle → Wait for close + next candle open
Ignoring SMT → Use confirmation tools

5. Ideal Conditions

Sessions: 7-9AM NY, NY Macro Window, 7-10PM NY

Context: HTF trend + liquidity sweep into key levels

6. Trader's Checklist

Pre-Trade

✓ HTF trend confirmed

✓ Order block identified

Entry

✓ Lower-TF break

✓ Next candle open

7. Live Example (Gold)

HTF: Daily bearish

Entry: $1950

SL: $1955

TP: $1940

8. Simplified Rules

1. Trade HTF trend

2. Wait for PS

3. Order block break

4. SL at swing

5. TP = 2R

9. Risk Management

Risk 1-2% per trade

Gold: $10 per 0.10 move

10. Best Times

7-9AM NY (Premarket)

NY Macro Window

7-10PM NY (Asia)

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