This trading strategy focuses on entering positions based on significant daily highs and lows, utilizing ICT's "Power of Three" framework—accumulation, manipulation, and distribution. With this approach, I earned $4.5 million and I’m here to show you how simple it can be:
» Do not trade if the market has already hit the target high/low. «
The Key is to target historical levels beyond just the last 24 hours and to use the New York midnight open for optimal entry points. By staying committed to the market direction from the previous day and timing your trades around key sessions like New York or London (ICT Kill Zones), you can capture manipulation moves for more favorable risk-to-reward ratios.
» I’m here to show you how simple it can be. «
Now, I'll walk you through the three-step process I use to achieve results every day:
1.) Identify Key Levels: Determine the previous daily high or low as the target based on bullish or bearish conviction from prior day’s close.
2.) Assess Market Context: Confirm the market is trading below the previous daily high (for bullish trades) or above the previous daily low (for bearish trades) to avoid chasing price.
3.) Apply Power of Three:
2.) Assess Market Context: Confirm the market is trading below the previous daily high (for bullish trades) or above the previous daily low (for bearish trades) to avoid chasing price.
3.) Apply Power of Three:
Accumulation: Identify a range (e.g., Asian or London session) where orders build up.
Manipulation: Look for a temporary move against the expected direction (e.g., bearish move in a bullish setup) to trap traders.
Distribution: Enter trades as the market moves toward the target high/low, ideally near the midnight open for better risk-to-reward.
Manipulation: Look for a temporary move against the expected direction (e.g., bearish move in a bullish setup) to trap traders.
Distribution: Enter trades as the market moves toward the target high/low, ideally near the midnight open for better risk-to-reward.
Entry and Risk Management:
- Enter trades on lower time frames (e.g., hourly) using setups like fair value gaps, order blocks, or liquidity raids that align with the high time frame direction.
- Place stop losses logically (e.g., at 50% of a Fair Value Gap or below a key level).
- Exit trades based on time (e.g., end of a 4-hour candle) or when the target is reached, avoiding overnight holds for futures.
- Do not trade if the market has already hit the target high/low.
- Avoid setups misaligned with the high time frame direction.
- Trade smaller or not at all if the market has expanded in your direction before entry.
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