ICT Mentorship: Lesson 2 - ICT Amplified Day Trading and Scalping (May 2017)

Key Concepts

• Filling the Numbers

  • Refers to the tendency for markets (IPTA) to fill four specific levels daily.
  • Focus on previous day’s high and low, and the swing points on a daily chart.

• Day Trading Reference Points

  • Previous day’s highs and lows.
  • Last three days’ highs and lows for swing points.

Pivot Points

• Central Pivot Point (CPP)

  • Zero GMT pivots: Movement above CPP involves M3 (midpoint between CPP and R1), R1 (resistance), M4, R2, etc.
  • Movement below CPP involves M2 (midpoint between CPP and S1), S1 (support), etc.

• Staged Orders

  • Orders placed at pivot levels due to retail and fund trader activity.
  • Misuse by retail traders can provide opportunities (e.g., selling short at S1 or S2).

Trading Strategies

• Order Flow and PD Array Matrix

  • Use these to determine bias and expected levels to fill.

• Daily Range Projections

  • Use four levels from entry point: either above (long) or below (short).

Central Bank Dealer’s Range

• Unique concept used alongside pivot points.
• Shorting above the dealer's range low, each cross below counts as one level filled.

Asian Range

• Utilized similarly to other ranges.
• Buying below the range counts the high as the first level.

Flout Range

• Range from 3 PM to midnight NY time.
• Equilibrium (50%) determines new flout ranges.
• Projected as standard deviations of 50% of the total range.

Considerations for Trading

• Look for confluences between different methods (pivots, ranges) and time of day.
• Aim to determine the daily high/low as more of the trading day unfolds.

Practical Application

• Use insights from London trading into New York session to refine daily high/low estimates.
• Combine multiple methods for precise measurement.

Conclusion

• The importance of practice and measurement.
• Understanding these methods can lead to precise daily range predictions.

Note: The teaching emphasizes that understanding and applying these strategies requires effort and practice. Fluctuations and precise movements in the market are necessary for these strategies to be effective.