Core Month 01 04 Equilibrium Vs. Discount - newsqlguru/ict-index GitHub Wiki

ICT Mentorship Core Content - Month 1 - Equilibrium Vs. Discount

Define Dealing Range, largest price swing.
- Pull fib tool from high to low.
- Mark equilibrium, at 50% of range.
- Discount market is between equilibrium and bottom of the Dealing Range.
What is the market bias, bullish or bearish?
When price trades below equilibrium we watch for long trade entries.
- As long traders we want to buy (enter) at a discount and sell (exit) at a premium.
- Banks are allowed to behave the same way buy low and sell high.
We will see fast dynamic price moves from discount and premium near equilibrium.
Target old highs for trade exit.
Don't chase price, wait for retracement to OTE, in this case.
Intuitional Overflow, is what happens between the highs and lows.
Swing High/Low can be used to identify and confirm dynamic price movements.
- The fourth candle of the swing must continue to the swing direction.
  - e.g. swing high, the forth candle is lower than the high and moving lower than the low of the swing high.
  - e.g. swing low, the forth candle is higher than the low and moving higher than the high of the swing low.
Take profit at old swing highs.