ICT SMC

Breaking the Matrix of Forex Trading

APRIL 1, 2025
NEERAJ SARANG
Instagram: neeraj.sarang
 Mr. Neeraj Sarang

गु# $%ा, गु# िव)णु, गु# देवो महे0रः।

गु# सा5ात पर$%, त8मै :ी गु#वे नमः।।

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! Table Of Contents

Not Arranged Now

Chapter 1 Why ICT SMC? 1

Chapter 2 Case Studies of Trades 8

Chapter 4 Market Structure BOS, IDM, MSS 24

Chapter 5 Liquidity and Liquidity Voids 33
Chapter 6 POIs 41
Chapter 7 Entry Modules 50

Chapter 8 Funded Pass Challenge 58

Chapter 9 Risk Management 67
Chapter 10 Psychology 76

Chapter 11 Intraday Trading 84

Chapter 12 Kill Zones, News, OTE 93
Chapter 13 Avoiding Common Mistakes 103
Chapter 14 Bias (Narratives) 111
Chapter 15 Miscellaneous 120

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List of Failed Models in Forex Trading:

1. Scalping-Based Model ❌

2. Indicator-Based Model ❌

3. Support, Resistance, and Trendline Model ❌

4. Limit Order Execution Model ❌

5. 1-2-3 Retracement Model ❌

6. Candlestick Pattern Model ❌

7. Algo Based Trading ❌

8. Advanced SMC (Smart Money Concepts) / ICT (Inner Circle Trader)

Question: With so many trading concepts out there, why ICT SMC? There must be a
reason, right?

Answer: There is. ICT doesn’t just teach you how to trade —

It teaches you why the market moves the way it does.

It reveals the hidden algorithm behind the charts.

It shows you how liquidity works —

and more importantly,

how not to become the liquidity yourself.

Because in this market, you’re either fueling the system,

or you’re the one driving it. The choice is yours.

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RULE ZERO

THINK ABOUT IT — CAN ANY INDUSTRY SURVIVE WITHOUT RAW MATERIALS?

Take the steel industry — it needs metal ores like iron and copper. Or the cinema industry —
it needs an audience. Without viewers, the production company can’t generate value, the
owner can’t profit, and the employees can’t be paid. So, clearly, raw materials are essential
for any industry.

Now here’s the real question: What are the raw materials in trading?

You buy internet, mobile phones, and computers for your personal use. These are just tools
— minor materials. All the trading apps are free to download, all the accounts are free to
open. So what fuels the industry?

It’s you. You are the raw material of the trading industry. Shocking? But it’s the truth.

Almost 99% of common people lose money in trading. Yet, new people keep coming in to
invest. Why? Because for this industry to survive, it needs a constant stream of fresh
customers — people like you. And to keep you hopeful, they make sure you believe that one
day you’ll be a winner. But the truth is, that 1% who actually win — they are the real
owners of the trading industry. They run the system. They manipulate the game to their
advantage.

So now, the real question is yours to answer: Do you want to be the raw material of the
trading industry — or do you want to be the owner?

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ICT Rule 1 –

If you understand where everyone’s money is going to get wasted, where everyone’s stop-
losses are placed, where everyone’s positions are, and you realize that the market will
definitely go there — meaning it will go there no matter what, it’s guaranteed — then you’ve
understood the biggest rule of ICT.

ICT Rule 2 –

Price movement is absolutely nothing beyond this. It simply moves from one place to
another, and then from that place back to the first.

A—From POI to Liquidity (Main BIAS)

B—From Liquidity to POI (Reversal BIAS)

C—From Liquidity to Liquidity (In Small Consolidation)

D—From POI to POI (In Large Consolidation)

ICT Rule 3 –

Who rules the market? The big players. And whenever big players put their large amounts
into the market, two things happen — first, they eat up everyone’s money, meaning liquidity
gets collected. Second, it creates an unhealthy price action, where things like Fair Value Gaps
(FVG) and Order Blocks (OB) are formed.

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ICT Rule 4 –

Direct entry at any POI is not allowed. You can only consider entering after a proper
displacement or a valid Market Structure Shift (MSS) or CISD. A proper displacement or
valid MSS is the one that forms a Fair Value Gap (FVG) or an Order Block (OB).

Priority order —

MSS > Displacement > CISD

ICT Rule 5 –

You must know the bias of the higher time frames — like monthly, weekly, and daily. Only
then can you think about trading on an internal range for intraday setups.

ICT Rule 6 –

In any lag, trade entries are preferred only at the first POI or the last POI. There should be no
entries anywhere in between.

ICT Rule 7 –

Big players hold bidirectional positions, which is called hedging. It’s obvious that price will
visit all POIs so that profit positions can be closed and potential losses can be minimised.

ICT Rule 8 –

Market structure is very important. Also pay attention to whether the structure is just forming
new Breaks of Structure (BOS), or if it’s also forming IDMs. If it’s forming IDMs, then the
structure becomes even more significant. Not every random swing is considered an IDM —
for a swing to qualify as an IDM, it must follow certain liquidity grab rules.

My Rule 9 –

Psychology, risk management, fear, greed, revenge, the lure of easy money, weak
temperament, low intelligence, and the greed for a luxury lifestyle —

If you’re constantly worried about these things, then fixing them within trading is extremely
difficult.

To truly work on them, you’ll need to dive into literature and philosophy.

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Start with Class 9–12 NCERT literature books, and for philosophy, study from the UPSC
CSE Philosophy Optional mains books.

My Rule 10 –

There are very few billionaires in the entire world — and to become one, you need to have a
deep understanding of how the entire world works.

This includes knowledge of international economic markets, diplomatic relations,

geopolitical issues, government policies, and more.

Some of this you’ll get from news, but for the rest, you’ll have to read books and study
deliberately.

ICT Rule 11 –

Don’t make trading complicated.

i. You should know the three-month structure, and have knowledge of high/low liquidity
sweeps.

ii. Understand low resistance and high resistance liquidity.

iii. Be aware of narratives (biases).

iv. You should know how to play the internal structure.

ICT Rule 12 –

What is Liquidity?

Liquidity is a place where the most stop losses are placed. It refers to the money that belongs
to retailers or what is considered “easy money.” That is what we call liquidity.

Identifying liquidity correctly is important because the market will definitely go there. The
reason the market goes to those areas is that big players want to collect all that money for
themselves. Some types of liquidity can be easily identified, such as:

i. Trend-line liquidity

ii. Support and resistance liquidity

iii. Accumulation liquidity

iv. Swing high/swing low liquidity

v. Daily, weekly, monthly candle liquidity

vi. Breakout and retest liquidity

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vii. Pattern/structure liquidity

viii. Smart Money Trap (SMT) liquidity

ix. Imbalance/Fair Value Gap (IFVG) liquidity

x. Manipulation liquidity

xi. Equal highs and equal lows liquidity

xii. Sessions liquidity

xiii. Low resistance liquidity and High resistance liquidity

xiv. Internal Liquidity and External Liquidity

My Rule 13 -

Making money through trading is not easy money. It’s the hardest way to earn money in the
world. In economics, there are Primary, Secondary, Tertiary, Quaternary, and Quinary
sectors. Trading falls under the Quinary sector, which is the 5th sector of the economy. It’s
where money is earned through intelligence. The sharper the mind, the more money one can
make.

ICT Rule 14:

You must always know the bias on a monthly, weekly, and daily basis. And being an intraday
trader doesn’t mean you have to take a trade every single day. Until a proper setup forms, just
stay calm. Observe as much as you want, but you can’t enter a trade without a setup.

ICT Rule 15:

There are two most important types of liquidity that you must know at all times — low
resistance liquidity and high resistance liquidity.

• Low Resistance Liquidity: This is the retailers’ money, which can be easily broken.

• High Resistance Liquidity: This is the big players’ money, which can only be broken due to
a high-impact news event or after those players themselves close their positions.

My Rule 16 -

Trading is a mindset, a whole world, a living and breathing life. It requires a lot of hard work;
it’s not for everyone. It’s not like you can just wake up without even washing your face and
start making money. It’s a lifestyle—it’s a projection of yourself.

ICT Rule 17 -

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A Point of Interest (POI) can be relevant at any time, but if it occurs during a peak volatile
period of the trading session, its relevance is at its maximum.

ICT Rule 18 –

The market only cares about liquidity. If it gets enough liquidity even before the POI (Point
of Interest), it will trigger from that point itself. The best examples of this are IDM sweep,
BOS sweep, and MSS sweep.

ICT Rule 19:

Market structure is very important, and that too without breaking the rules. Where there will
be an IDM, where there will be liquidity, where the POI will be—this all must be considered.
Also, think about whether the internal range can play a role.

Then, calmly reflect on all the possibilities—what could happen, and what decisions I will
make in each case. And finally, there should be one or two decisions that are final—beyond
which nothing else should be done, even if it means missing the trade or taking a loss.

ICT Rule 20:

The target of any trade should always be calculated and practical. The target price should be
set while keeping greed and psychological balance in mind. All possible scenarios that may
occur around the target price should be predicted in advance.

Simply entering a trade does not make it successful. What makes a trade successful is
knowing where the target price lies, how much it can maximize, and exiting by booking
profits accordingly.

ICT Rule 21 – Timeframe Confusion

There’s often confusion regarding which timeframe’s structure to focus on — which one is
more valid, or which one is more appropriate to follow.

To address this, keep the following points in mind:

i. Always start with higher timeframes.

You must look at the Monthly, Weekly, and Daily charts — no matter what. Even if you’re
planning to take a trade on the 1-minute chart, higher timeframes should still be analyzed
first.

ii. The timeframe that follows all ICT rules holds more validity.

For example:

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If the 1-hour chart shows a POI (Point of Interest) but doesn’t show an IDM (Inducement),
and the 5-minute chart shows both POI and IDM, then the 5-minute structure is more valid in
that scenario.

(5-min > 1H in this case)

iii. When there’s a contradiction between two different timeframe structures, and you’re
unsure what to follow, wait for a while. Let the market form a clearer structure to eliminate
confusion before making a decision.

iv. If the POI on the higher timeframe is far away, but on the lower timeframe you can see a
structure forming that follows all ICT rules, then you can trade the internal range on the
lower timeframe — targeting up to the POI on the higher timeframe.

My Rule 22 –

You should be able to identify high probability trades and weak probability trades. You don’t
need to jump into every trade, and you don’t need to enter as many trades as possible. Stay
calm and take fewer trades, but make sure they are the best ones.

Just like in cricket, you can’t hit a six on every ball, and you don’t have to score on every ball
either. You just play well enough to avoid getting out. Similarly, in trading, by not taking a
trade, you are actually making a good trading decision to protect your capital from being
wiped out.

ICT Rule 23 –

How to know if the POI (Point of Interest) is valid or not?

i. If the POI is incorrect, then there will be almost no MSS (Market Structure Shift) at that
point.

ii. There won’t be an FVG (Fair Value Gap) formed within the MSS.

iii. A trade can be planned at a POI twice — once again even after a stop-loss hit.

iv. External liquidity grab is necessary at the POI.

v. Price will follow the CISD mechanism at the POI.

My Rule 24 —

It has always been my belief that if someone is considered a master in a particular field but is
not number one in that world, then they are not worthy of being my teacher. When I was
involved in the field of literature and philosophy, the top names in those fields were people

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like Rabindranath Tagore and Descartes. Similarly, in trading, only someone who truly
understands market algorithms and can teach me about them can be my mentor—no one else.
I don’t care how popular or wealthy they are; to me, that means nothing, and I will not be
impressed by them.

ICT Rule 25 –

What is CISD?

Change In the State of Delivery

CISD is a helpful mechanism to predict whether there will actually be a price movement at
any POI (Point of Interest), and whether the price is going to change direction from that point
or not. Basically, it shows institutional flow, and even before the MSS (Market Structure
Shift), we can know whether big players are really entering or not.

i. In a buying trend, the buying flow will capture all the selling candles.

ii. In a selling trend, the selling flow will capture all the buying candles.

My Rule 26 –

If you are having a losing day continuously, then after one, two, or three trades, exit for the
day. There will be trades again tomorrow—take them tomorrow. There’s no need to force it;
you’ll make money again tomorrow.

ICT Rule 27 –

The price chart printed on the left side is very important. Pay close attention to whether there
is any POI (Point of Interest), any liquidity, and if so, what the intensity is. Because the old
chart data definitely affects the formation of the new structure — it absolutely does — and it
cannot be ignored.

ICT Rule 28 –

After entering any trade, it is very important to know where your target will be. The target is
usually a nearby liquidity pool or another important level (POI) — nothing else. The target
should always be determined based on practical calculation.

My Rule 29 –

In the same trade, I should not add any more lot positions. I should enter only once and either
book profit or loss on that same entry.

If the trade fails, it will still fail even after adding more lots. Therefore, I need to control my
greed and minimize my loss.

Rule To Pass the Funded Challenge in 6 Days

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Trade with 0.1 lot in Gold to pass a $5,000 funded challenge

You don’t need luck or magic.

All you need is 600 pips = $600.

Gold moves 500–1000 pips a day.

Your only task? Catch just 100 pips per day. That’s it.

• Wait for the safest setup.

• Enter one trade.
• Secure 100 pips.
• Exit.

No greed. No overtrading.

Stick to the plan, stay consistent, and you’ll pass the challenge in just 6 days.

ICT Rule 30 –

In the case of OTE (Optimal Trade Entry) expansion, Fibonacci levels are applied from body
to body of the candles, and the entry is executed at the 0.79 level.”

What is OTE (Optimal Trade Entry)?

In ICT (Inner Circle Trader) methodology, OTE is a concept used to identify high-probability
entry zones during a retracement of a price move. It’s usually between the 0.62–0.79
Fibonacci retracement levels.

Body-to-Body Fibonacci Application

Normally, Fibonacci retracement is drawn from the wick high to wick low (or vice versa), but
in Rule 30, the Fibs are applied from the body of one candle to the body of another, ignoring
the wicks.

This method filters out “noise” (like stop hunts) and focuses on the real buying/selling
pressure.

Steps to Use Body-to-Body OTE Entry:

1. Identify the Swing Move

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Choose a clear price movement – either a bullish impulse (for buying) or bearish
impulse (for selling).

2. Draw Fibonacci (Body-to-Body)

o For a bullish OTE: From the body low to the body high of the move.
o For a bearish OTE: From the body high to the body low.
3. Entry Point
o Watch for price to retrace into the 0.62–0.79 zone.
o Ideal entry is at the 0.79 level (as mentioned in Rule 31).
4. Confirmation (Optional)
o Use market structure shifts, order blocks, or fair value gaps as additional
confirmation.

MY RULE 31-

1. Get Funded Account

→ Funded Challenge ($200K) with Gaurdeer Funding

2. Pass Challenge

→ Trade 4 lots

→ Capture 100 pips

→ Per trade $4000

→ Pass challenge within 2 weeks

3. Start Live Funded Trading

→ Use same strategy

→ Target payouts of $20K–$40K in next 2 weeks

4. After 2–3 Payouts

→ Stop prop trading

→ Deposit own money into Exness

5. Trade with Own Funds

→ Continue strategy on Exness

→ Withdraw profits to Binance

6. Final Step

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→ Withdraw from Binance into INR Bank Account

→ Limited withdrawals to stay under radar or manage taxes

FLOWCHART

My Rule 32 –

“Don’t be afraid of failing, and be ready to book your losses. The world of trading is such
that losses are inevitable. The smart move is to keep them calculated. Not every trade is going
to be a winner, so there’s nothing to panic about. All we need is net profit, that’s it.”

My rule 33 –

“You always need to keep three things in mind: greed, ego, and show-off. The one you are
fighting against is a machine, it’s software — it has its own method, its own mechanism. You
can never succeed in trading using just the human mind. You will have to stay calm — you
must learn to stay calm. Whenever you forget these things, you will be wiped out. You’re

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pulling money out of the mouth of a beast — a beast that has devoured countless others.
What are you compared to that? You’re nothing in front of it.”

My Rule 34 —

In the initial days, book the full target around the nearest liquidity levels—there’s no need to
always aim for capturing 100 pips. Even 70–80 pips are more than enough. In a sideways
market, movement becomes an issue, and not booking profits near nearby liquidity can prove
to be dangerous. So, be cautious and stay alert.

My Rule 35 —

Taking trading entries repeatedly feels like an addiction—your mind goes blank, and it’s as if
your ability to think and analyse disappears. That’s why there’s no need to take too many
entries in a single day. Stop when it’s time—call it a day. That should be enough. Don’t force
it. It’s not necessary to keep squeezing juice from a sugarcane that has none left. Many trades
will fail, and many days just won’t be good.

My Rule 36 –

Important points to keep in mind while making a trade entry:

1. Timeframes

Different chart intervals traders use for analysis:

• HTF (Higher Time Frame): Daily, 4H – for market structure.

• LTF (Lower Time Frame): 1H, 15min, 5min – for precise entries.

2. Clear Bias

Directional view of the market:

• Bullish or Bearish
• Usually based on HTF structure, liquidity, and narrative.

3. Liquidity

Where orders are likely stacked:

• Equal highs/lows, trendline touches, swing points.

• Buy-side and sell-side liquidity are key targets for price.

4. POI (Point of Interest)

Key levels where reactions are expected:

• Fair Value Gaps (FVG), Order Blocks (OB), Imbalance zones, etc.

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5. Session

Market opens with unique volatility:

• London (Volatile, trending)

• New York (Reversal, continuation)
• Asia (Range-bound, accumulation)

6. IDM (Inter-Daily/Intraday Market Structure)

Market structure shifts within the day:

• Look for breaks in structure (BOS) and shifts in character (CHOCH).

7. News

High-impact events can cause fakeouts or provide entry catalysts:

• NFP, CPI, FOMC, interest rates, etc.

• Use Forex Factory, MyFXBook, or Investing.com calendars.

8. OTE (Optimal Trade Entry)

Retracement zone ideal for entries:

• Between 61.8% and 79% Fibonacci retracement of a move.

• Often aligned with POIs or liquidity grabs.

9. Entry

Criteria-based trigger:

• LTF confirmation at HTF POI.

• Could be a break of structure + FVG entry, mitigation, or rejection.

10. Target

Logical levels for taking profit:

• Opposite liquidity pools.

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• Previous highs/lows, session highs/lows, or imbalances.

ICT Rule 37–

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The POI (Point of Interest) of a certain time frame will target the liquidity of that same time
frame, and vice versa.

ICT Rule 38–

Bias and liquidity are the two most important factors in trading.

ICT Rule 39-

The Three Bs are the backbone of trade entry:

B1: What did the market do first, and based on that, what can we expect it to do?

B2: According to the current market, where is the liquidity?

B3: Is the current dealing range in discount or in premium?

1st: Check the liquidity first.

2nd: See whether the FVG (Fair Value Gap) or OB (Order Block) has been tapped or not.

3rd: Look at the PD Arrays (Price Delivery Arrays).

ICT Rule 40 –

Low resistance liquidity will definitely be collected. This isn’t the money of big players; it’s
the money of the common man, the retailers. And they definitely want this money, so the
price is bound to go all the way to the final point of liquidity.

My Rule 41–

When the market structure is too complicated, there’s no need to jump in. Just wait — let a
clear structure form, otherwise a loss is almost guaranteed. Bro, you’ll make money later —
maybe in a few minutes or even tomorrow. What’s the point of rushing into a trade and
taking a loss for no reason?

My Rule 42–

A mistake I’ve been making repeatedly is not setting my stop-loss in the system and then
refusing to let it be hit. I need to place the SL in the system and always allow it to trigger—if
it’s hit, the trade has simply failed, and I’ll take a small loss; otherwise I risk a much larger
loss, which I’ve paid for many times over.

My Rule 43—

If everything appears to be in my favour, I may add a half-lot to a winning trade. But it’s
never right to add to a losing position, and it’s crucial to book the loss promptly—taking a
small loss shows that the trade failed and that my bias was wrong. If I keep adding size to a
losing trade, it will ultimately lead to a dangerously large loss.

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ICT Rule 44 –

“It is important to make trade entries during session timings because that is when volatility is
at its highest and all the big players enter the market.”

My rule 45 –

If there is IDM, then FVG will work well; otherwise, without IDM, OB performs better.
Trades can be taken from FVG, but taking them from OB is more accurate.

My rule 46 –

Catching a counter trade can often prove to be fatal; the chances of failure remain high.

ICT Rule 47 —

In trading, bias is the most important thing. If the bias is known, one can reach from any
point to the target.

My Rule 48 —

For 4H POI – 15 min displacement with FVG

For 1H POI – 5 min displacement with FVG

My Rule 49 —

In consolidation, POIs are only OB not FVG for 4H and 1H

ICT Rule 50 —

!"# - Accumulation, Manipulation, Distribution

!$% - All Time High
!$& - All Time Low
'()( – Buy Side Imbalance Sell side Inefficiency
'*+ - Breaker / Breaker Block (+BKR = Bullish / -BKR = Bearish )
')& – Buy Side Liquidity
')& ),--. - Liquidity Sweep / Liquidity Grab
'/ - Break Even
'0) - Break of Structure
1()# - Change in the State of Deliver
#0& - Draw on Liquidity
/2& - Equal Lows
/2% - Equal Highs
345 - Fair Value Gap
5!6 - Imbalance
%& - Higher Low
%% - Higher High
%$3 - High Time Frame

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(6#! - Interbank Price Delivery Algorithm

('& - Internal Buy Side Liquidity
(345 - Inverse Fair Value Gap
()& - Internal Buy Side Liquidity
&0*7 - London Kill Zone
&& - Lower Low
&% - Lower High
&$3 - Low Time Frame
"' - Mitigation Block
")) - Market Structure Shift
"t - Mean threshold
8#05 - New Day Opening Gap
8"05 - New Monthly Opening Gap
8905 - New Weekly Opening Gap
8:*7 - New York Kill Zone
0' - Order Block (+OB = Bullish / -OB = Bearish )
0$/ - Optimal Trade Entry
6#% - Previous Daily High
6#& - Previous Daily Low
6# !;;<= - Premium / Discount Array
60( - Point of Interest
69% - Previous Weekly High
69& - Previous Weekly Low
++ - Risk to reward
)% - Stop Hunt
)"$ - Smart Money Technique ( Divergence )
)/+ - Support & Resistance
)& - Stop Loss
))& – Buy Side Liquidity
))& ),--. - Liquidity Sweep / Liquidity Grab
)# - Standard Deviation
$! - Technical Analysis
$6 - Take Profit
4( - Volume Imbalance

Guardeer Rule 51 -

• First, identify areas of low resistance and high resistance liquidity.

• Determine which nearby POI (Point of Interest) the price can potentially reach.
• Identify the bias and observe how far the price wants to go — will it go directly or
take a more roundabout path?
• Weekly profile (three candle swing or big players profit booking)
• For entry in trade, take the trade during the session (Kill Zone) and hold it until the
target is reached.

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ICT Rule 52

First point: If the price is moving fast and both the IDM and BOS are forming, then that’s
the best-case scenario. But if that’s not happening, then…

Second point: If the price is in consolidation, then look for POIs (Points of Interest) on the
4H and 1H timeframes, and only take trades from their Order Blocks (OB) — but only after
seeing displacement on the 15-minute chart for 4H and 5-minute chart for 1H.

You can take entries twice at the same POI, but you should not take trades anywhere in
between.

Final point: It’s important to identify low and high resistance liquidity, and it’s also essential
to understand the weekly and daily market profile.

ICT Rule 53 –

First, there will be CONSOLIDATION.

Then comes EXPANSION.

Now, whether it’s a RETRACEMENT or a REVERSAL,

In the end, there will be CONSOLIDATION again.

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For a reversal, there is usually a Point of Interest (POI) on a higher time frame.

For a retracement, the POI is on the same time frame and within the same lag.

ICT Rule 54 —

When inducement is present across the 4H, 1H, 30-minute, 15-minute, and 5-minute market
structures, a Fair Value Gap (FVG) validated by a 1-minute Market Structure Shift (MSS)
can be used as a sufficient confirmation for a trade entry, eliminating the need to rely on an
Order Block (OB).

ICT Rule 55 —

OBs (Order Blocks) on the Daily, 4H, and 1H timeframes are very powerful. For them to
become invalid, a closing beyond them is necessary — not before that. Price moves from one
OB to another in a mirror image pattern, and all those trades can be captured.

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ICT Rule 56 —

Juda swing – refers to a fake move.”

“Before the opening of the daily, weekly, or monthly candle, a Juda swing is typically
formed.

ICT Rule 57–

POI, bias, liquidity, time fractal — these are all like riddles. Only when you look at them
together will you be able to understand the destination of a trade.

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ICT Rule 58 —

On a 1H or 4H Fair Value Gap (FVG), entries are safer when an ITL or STH starts forming.
Many times, stop-losses placed based on the 1H or 4H get hit due to moves on the 5-minute
or 15-minute displacement respectively.

ICT Rule 59 —

If the bias becomes clear — whether it’s for buying or selling — and there’s no obstacle on
the left side, then let an IDM form in 5 minutes. After that, you can take entry at the nearest
and last POI (Point of Interest) after a 1-minute MSS (Market Structure Shift).

ICT Rule 60 –

A price is triggered from a specific location and needs to reach another specific location, but
for large orders to be filled, there must be sufficient opposite liquidity. To achieve this,
opposite liquidity (trapping) is repeatedly generated.

This is exactly like when very large orders are running on both sides (hedging).

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My Rule 62 —

Always set a strict stop-loss (SL) of 30–60 pips, even if the SL gets hit — the SL must be
placed according to the system. I’ve made this mistake many times, but it’s essential. Also,
never average a losing position and always enter only at the 1-minute POI (Point of Interest)
tap.

My Rule 63 —

FVG (Fair Value Gap) should only be used for trade entry when there is an IDM
(Inducement). Otherwise, enter only from OB (Order Block).

First condition:

If there’s an FVG on 4H, 1H, 30 minutes, 15 minutes, or 5 minutes timeframe and there’s an
IDM, then a 1-minute market structure shift (MSS) is enough for entry.

You can take 2 entries with a strict stop loss.

Second condition:

If there’s no IDM, then enter only from OB.

• For 4H OB – look for 15-minute displacement

• For 1H OB – look for 5-minute displacement
• For 30-minute OB – look for 5-minute displacement
• For 15-minute OB – look for 1-minute MSS
• For 5-minute OB – no need to trade

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ICT Rule 64 —

For trade directions, keep two things in mind—

First: Don’t take counter trades; stay with the trend.

Second: If there’s confusion at any point (POI), then leave it.

My Rule 65 —

If the entry point is far after 1 minute of the MSS (Market Structure Shift), then take the trade
only when the price comes back to that level. But if it is nearby, then you can take a direct
entry.

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My Rule 66 —

Just as a doctor’s slightest mistake while saving a patient can cost the patient’s life, and just
as even a small lapse while driving can lead to an accident, trading operates in much the same
way — a minor error can result in immediate loss. Therefore, utmost caution is essential.

My Rule 67 —

One thing is true — if I stick with rules and patience, I can make a lot of money.

ICT Rule 68 —

Daily and 4H order blocks are very dangerous; they are so powerful that they can completely
reverse the direction of the price.

ICT Rule 69 —

Here’s another common issue many regular traders face: You don’t have to trade every day,
and you don’t need to be in a position all the time. If you really feel the urge to enter a trade,
just open a demo account and keep making entries there.

To take a proper trade position, two things are essential:

1. Session timing (kill zone)

2. There must be fast price movement — You can’t take a trade during consolidation
within a zone and just hold it. If you do, it might trigger both BSL (Buy Side
Liquidity) and SSL (Sell Side Liquidity), and your stop-loss could be hit from both
sides.

The safe entry is when there’s an expansion and then a retracement — that’s the time to enter.
At that point, you’ll also likely know the market bias and your target.”

ICT Rule 70 —

During the consolidation phase, 4-hour and 1-hour order blocks tend to be highly effective. A
valid trade entry can be planned following a clear displacement from these levels.

ICT Rule 71 —

In Smart Money Concepts (SMC), we track the footprints of institutional players to determine
optimal trade entries. These large players typically enter the market during active trading
sessions—primarily within the first 2 to 3 hours. Therefore, our trading activity is also
concentrated during this period. Beyond that, market movement tends to stagnate, and any
price action that does occur often serves only to sweep liquidity on both sides. For effective
trading, significant and decisive price movement is crucial.

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ICT Rule 72 —

DAILY BIAS

We try to understand the daily bias in three ways. That means figuring out how the day will
be for intraday trading—whether it will be bullish or bearish. The direction of the price will
be determined based on which of these three areas the price taps into.”

1. Gaps – Fair Value Gaps (FVG), Imbalance

2. Blocks – Order blocks, Mitigation blocks, Breaker blocks, Rejection blocks,
Reclaimed Order blocks
3. Liquidity – Previous day high-low liquidity, Weekly liquidity, Monthly liquidity,
Swing high-low liquidity

• After taking the liquidity of the daily candles, if the candle closes right there, then the
price is likely to continue in the same direction. But if it closes far away after taking
the liquidity, then the next day’s candle may be seen moving in the opposite direction.
• When the market is at an all-time (high or low) or at any POI, it doesn’t reverse until
it forms a three-candle swing.

My Rule 73 —

Trading is neither just a game of numbers, nor merely about candlestick patterns or
indicators. It’s a process of self-mastery — where you must gain control over your emotions,
mindset, and discipline.

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Those who trade only for “profit” are focused outward. But those who work on bettering
themselves every single day — their focus is inward, and they are the ones who succeed in
the long run.

Your points are absolutely on-point:

• Psychology: Until you control greed, fear, and impatience, losses will keep
happening.
• Language: Your way of understanding and expressing the market develops through
language.
• Personality: You begin to blend risk-taking, patience, and rational decision-making.
• Behaviour: You learn not to react, but to respond — and that requires awareness.
• Diplomatic Ideas: The market isn’t driven by numbers alone, but also by sentiments
and narratives.
• Daily Routine: Without discipline and consistency, surviving in the market is
extremely difficult.

Trading is actually a mirror — it shows you who you are, and who you need to become.

ICT Rule 74 —

When the market is at an all-time (high or low), it doesn’t reverse until it forms a three-candle
swing.

ICT Rule 75 —

Difference Between Professional and Average Traders:

• First, it’s important to understand the real foundation of ICT SMC (Inner Circle
Trader Smart Money Concepts) — which is that we need to trade with the big players,
not against them. Pay attention: these big players (Smart Money) put their capital into
the market during specific times of the trading sessions, known as Kill Zones.
• These Kill Zones primarily refer to the first 2–3 hours of the Asian, London, and New
York sessions. The biggest market moves happen during these hours — whether it’s a
liquidity grab or a market direction shift. After that, the market usually consolidates or
gives fake moves.
• This means that out of the 24 hours in a day, only about 6–7 hours are truly optimal
for professional-level trading. Trading outside of these hours increases risk and often
leads to unnecessary losses.
• Now the question is — what should you do during the rest of the day? Continuously
pressing the buy/sell button becomes like an addiction — each click gives the brain a
quick dopamine hit. This is what average traders do — they react to every move, take
trades on every timeframe — and that’s a bad habit.
• What does a professional trader do instead? They spend the remaining time studying,
analyzing charts deeply, writing notes in a trading journal, and maintaining balance
with family and life — so that when the next good setup appears, they’re fully
prepared.
• It’s better to take fewer but high-quality trades at the right time, rather than taking too
many impulsive trades — that’s the professional approach.

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ICT Rule 76 —

Final Ends

1. Always follow market structure such as BOS, MSS, IDM, and their rules.
2. The kill zone is very important; do not trade outside the session.
3. When the market is at an all-time high, the IDM concept works very well.
4. When the market is in consolidation, trade only on Order Blocks (OB) within the
Point of Interest (POI), and use Rule 63 for confirmation. 1H and 4H OBs are very
powerful.
5. Once a trade entry is made, Fair Value Gaps (FVG) and Order Blocks (OB) — which
indicate high resistance liquidity — should continue forming in that direction; if not,
the trade becomes invalid, and you should exit upon spotting a suitable opportunity.

My Rule 77—

ICT SMC Trading Calculations :

Assuming a conservative winning rate of 50% (even though actual performance often ranges
between 60–90%):

• Total trading days in a month: 22

• Number of trades per day: 3
• Total trades in a month: 3 × 22 = 66 trades
• Winning trades (50%): 33
• Losing trades (50%): 33

Following a 1:3 risk-to-reward ratio (as recommended by Nilesh Bhai):

• Stop Loss (SL) per trade: 100 pips

• Take Profit (TP) per trade: 300 pips

Calculations:

• Total pips lost: 33 × 100 = 3,300 pips

• Total pips gained: 33 × 300 = 9,900 pips
• Net pip profit: 9,900 − 3,300 = 6,600 pips

If trading XAUUSD with a 1-lot size, where each pip is worth $10:

• Monthly profit: 6,600 × $10 = $66,000

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ICT Rule 78—

When the price hits a point of interest (POI) on a higher time frame, the first swing that forms
is an MSS (market structure shift), not an IDM (Inducement).

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ICT Rule 79—

Market Structure is very important.

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ICT Rule 80—

Trading vs Gambling:

In trading, growth usually moves forward steadily with a few ups and downs, not big sudden
jumps. But with gambling, it’s all over the place — fast, random swings.

ICT Rule 81—

Don’t trade at all without IDM. If you know the daily bias — that is, the overall direction
where the price is likely to go — then trade entries can be taken on the 15-minute or 5-minute
timeframe using IDM.

ICT Rule 82—

" POI by ICT Methodology

“The market only seeks liquidity — it will certainly target and collect all stop-losses.”

1. IDM Sweep → Entry → FVG (Before BOS)

• When an Inducement (IDM) sweep occurs, take an entry targeting the FVG, before
the Break of Structure (BOS).

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• Probability ≈ 50%, but if the IDM sweep happens on higher timeframes (15min,
30min, 1H) → Probability ≈ 75%

2. First OB + FVG When IDM Forms

• As soon as IDM is identified, mark the first Order Block (OB) and Fair Value Gap
(FVG) — this becomes a high-probability buy/sell zone.

3. Last OB + FVG When IDM Forms

• Alternatively, use the last OB and FVG formed during IDM for entries. This often
captures the true origin of the move.

4. BOS Sweep + IFC Candle → Entry to FVG

• When a Break of Structure (BOS) occurs alongside a liquidity sweep, and it’s
confirmed by an Institutional Funding Candle (IFC), take an entry targeting the
nearby FVG.

5. MSS Sweep + IFC Candle → Entry to FVG

• Same logic as BOS, but here the Market Structure Shift (MSS) is swept, confirmed by
an IFC candle, and you target the appropriate FVG.

6. Internal Range Play

• When a candle closes outside the IDM, expect price to travel to the next POI.
• This creates an Internal Range Play opportunity from IDM to that POI.

7. Buy Setup After Bearish MSS

• After a Selling MSS, look to buy at the nearest bullish POI — ideally very close to
where the MSS happened.

8. Sell Setup After Bullish MSS

• After a Buying MSS, look to sell at the nearest bearish POI, again very close to where
the MSS occurred.

My Rule 83—

All those who have left various trading concepts from around the world and entered the world
of ICT SMC, just know that with a little hard work for some time, you’re going to become
very wealthy. Yes, this is hard to learn and difficult to understand, but the reward is also
massive.

When Bollywood filmmakers make movies with a 100 crore budget, they aim to earn at least
200–300 crores back — meaning a 1:2 or 1:3 risk-reward ratio. And even that takes them
months or years. But ICT teaches you how to earn with a 1:10 or even 1:20 reward ratio.

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ICT concepts are hard — not easy. As Nilesh Bhai taught the rules and demonstrated live
trading, he created a lot of confusion. His live trading style is different — his stop-losses are
large, and so are the rewards, but sometimes he jumps in the middle of trades because he has
experience.

Personally, I tried copying that live trading style, and in two weeks, I took heavy losses. But
when I used to follow the rules, I made a lot of money in previous months.

From my experience so far, there’s no other method besides ICT SMC in trading that truly
works. I’ve learned 5–6 trading methods, but none of them were beneficial or satisfying. Just
stick with it. Like education takes months and years, learning this will also take time — but it
will make you an extraordinary and wealthy person.

My goal is to make 2 trillion rupees (20,000 crore) in 10 years — and I will achieve it. This
may seem like an unrealistic target to others, but to me, it’s my ambition. There’s $18 trillion
just in gold. Even Elon Musk doesn’t have $1 trillion yet and also India’s GDP is less than $5
trillion dollars. So now you can understand how much money is in trading. Yes, the success
rate is only 3–5%, but that’s the same in any competitive field — IAS, IIT, NEET — it’s the
same everywhere.

Just keep at it. Dedicate yourself to learning this. After 2, 4, or 6 months, you’ll be making
unlimited money on your own.

My Rule 84—

Don’t take a trade on the first entry at any POI (Point of Interest). Wait for the second entry
opportunity, because the first time it often traps traders and the bias isn’t clear — it’s
uncertain whether the price will actually move from there or not. But once the price gets
triggered and starts moving ahead, it will definitely create a second opportunity — that’s
when it’s safe to enter.

ICT Rule 85—

Only consider the first and last POI (Point of Interest) in any lag, not the ones in between —
those are called liquidity voids, and the price fills them.

ICT Rule 86—

Where to Start for Intraday Trading:

• First, carefully analyse the daily candle to see what it has tapped — whether it tapped
into gaps (like FVG - Fair Value Gap, or imbalance), blocks (Order Block, Rejection
Block, Mitigation Block, Breaker Block), or if it took liquidity (from session levels,
swing highs/lows, daily or weekly levels). This will help in identifying the directional
bias. Along with that, also check where the recent price movement currently stands –
Premium, Equilibrium, or Discount. It will sell at Premium, range at Equilibrium, and
buy at Discount.
• Next, look for Order Blocks (OB) on the 4H and 1H timeframes and note their
positions. In any price lag, only the first and last Points of Interest (POIs) are

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important — the rest of the movement consists of liquidity voids, which are likely to
get filled.
• Then move to lower timeframes to plan your entry. Take the entry only on the
timeframe (1H, 30, 15, or 5 minutes) where an IDM (Inducement) forms. If IDM
doesn’t form, wait.
• To ensure a proper entry, you must follow your entry module.

ICT Rule 87—

Liquidity Voids:

• When there’s a sudden big change in price and a lot of FVGs (Fair Value Gaps) are
formed, it’s called a liquidity void. Except for the first and last FVG, the entire middle
area contains low-resistance liquidity, which is likely to get filled.
• In liquidity voids, Fibonacci’s premium, equilibrium, and discount levels work. OTE
(Optimal Trade Entry) can be applied for both buying and selling.

ICT Rule 88—

To reverse the market direction, three candles swing is formed; this can happen at an FVG
(Fair Value Gap), an OB (Order Block), or at an all-time high. Then, from there, expansion
happens in the fourth candle, as soon as there’s a spike in the swing during the New York
session, a trade entry can be made using OTE.

ICT Rule 89—

How is Bias Determined?

In the entire ICT (Inner Circle Trader) concept, only two things matter:

1. POI (Point of Interest)

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2. Liquidity

• Liquidity = Retail traders’ money

• POI = Institutional (big players’) money

And we know, the real power in the market lies with the big players. That’s why price first
moves to a POI, and then towards liquidity. Once the price reaches liquidity, it again targets
another POI.

Understand it like this:

Imagine a fight between a mongoose and a snake. The mongoose usually wins. But if the
snake bites the mongoose, the mongoose eats a healing herb, comes back, and fights again. In
this example:

• Mongoose = Big Players

• Snake = Retail Traders
• Healing Herb = Liquidity

Meaning, the mongoose (big players) consumes liquidity and returns to fight the snake
(retailers) again.

In this whole system, price only moves through 4 paths:

1. From POI to Liquidity

2. From Liquidity to POI

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3. From POI to POI

4. From Liquidity to Liquidity

Price always moves through one of these four routes.

Now let’s talk about how to determine Bias:

✅ Step 1 – Start from the Daily Timeframe:

A. First, check what the Daily Candle did:

• It either tapped a POI

• Or it tapped liquidity

➡ If it tapped a POI, the price must move to the nearest Daily Liquidity

➡ If it tapped Liquidity, the price must move to the nearest Daily POI

What counts as Daily POI?

• FVG (Fair Value Gap)

• Imbalance
• OB (Order Block)
• Rejection Block
• Breaker Block
• Mitigation Block
• Reclaimed Order Block

B. If price tapped any of these POIs, it will hunt liquidity next.

Types of Liquidity:

• Daily High / Low

• Weekly High / Low
• Swing High / Low
• Monthly High / Low

C. Use the Fibonacci Tool to strengthen your prediction:

You need to determine the correct positioning of the Daily Candle. Create a Dealing Range
and check in which zone the price lies:

• Premium Zone
• Equilibrium
• Discount Zone

This helps you understand the likely direction of price movement.

D. If you expect a complete reversal from the Daily candle,

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It won’t happen just by a simple tap. There should be at least a three-candle swing structure,
and then from the fourth candle, a clean reversal can happen.

E. Order Blocks (OB) are stronger than any FVG.

You cannot rely much on FVGs alone, because they often fail. Price reaching the OB is more
likely and stronger in conviction.

✅ Step 2 – What happens after the Daily Candle move?

If the Daily Candle tapped a POI or Liquidity, the move that follows is so powerful that it
breaks all smaller timeframe POIs, until it meets a valid Daily or 4H OB. If that doesn’t
happen, price might end up taking out too much Daily Liquidity.

✅ Step 3 – Look at the 4H OBs:

Now identify where the Order Blocks are forming on the 4H Timeframe. Price must at least
reach those levels.

✅ Step 4 – Drop down to Lower Timeframes for Entry:

Now shift to: 1H, 15 minutes, 5 minutes

The safest entry happens when: There’s a good IDM (Inducement) pattern, and the first FVG
or OB is nearby. Then, based on a Market Structure Shift (MSS) on the 1-Minute chart, a
high-probability entry can be made.

My Rule 90—

The question is, why is there so much confusion in trading—this trading?

Whatever is meant to happen typically occurs within the first 2–3 hours of any trading
session—commonly referred to as the “Kill Zone.” This is the optimal period for entering
trades. During this time, price action tends to exhibit sharp movements, making it more
suitable for capturing directional moves such as buying from lows to sell at highs, and vice
versa. But within such ranges, both Sell Side Liquidity (SSL) and Buy Side Liquidity (BSL)
are targeted, and this often results in liquidity hunts on both ends.

Points of Interest (POIs) visible on smaller timeframes frequently turn out to be traps, and
these levels are consistently invalidated. Attempting to force trades out of fear that price
might move without participation (commonly known as FOMO—Fear of Missing Out)
usually results in stop-loss hits. Subsequently, a trader may irrationally re-enter the market
thinking that this time the POI is valid, leading to further losses. This repeated cycle often
undermines self-confidence, leading to doubts about one’s learning and the effectiveness of
the current strategy—prompting unnecessary strategy-hopping.

This, fundamentally, is the core problem.

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The solution lies in accepting that not every day must be profitable. One can choose to trade
tomorrow instead of today and still generate income. Trading should be approached as a
business, where daily consistency in outcomes is neither expected nor realistic. Some days
will offer no viable setups, and it is better to remain inactive on such days rather than engage
in suboptimal trades.

Even if, out of 22 trading days in a month, only 15 are approached with caution and
adherence to a sound plan, profitability can still be achieved. In conventional employment,
remuneration follows sustained effort; however, trading sometimes offers outsized returns
relative to effort, which demands a mindset of contentment. Without mental composure,
precise execution becomes impossible. One major cause of losses is the compulsion to
engage in trades despite lacking full confirmation—akin to a cricket team trying to hit a six or
a four on every ball and losing due to lack of discipline. Sometimes, restraint and patience are
the only viable strategies—waiting for the ideal setup rather than reacting impulsively.

Unlike mathematics or science, where every problem has a definitive solution, trading is
inherently subjective. Outcomes are uncertain, and no one can claim absolute certainty about
future price movements. Placing overconfidence in one’s entries or believing one can predict
market direction with certainty is fundamentally flawed.

The problem often lies within the trader. If one follows ICT (Inner Circle Trader) concepts,
then it is imperative to adhere strictly to the rules provided, rather than improvising based on
personal biases. Success in this framework comes from discipline and rule-based execution.
Failure to comply leads to a recurring cycle of poor decisions—one that individuals with
weaker mental fortitude or lack of psychological resilience fail to break.

My Rule 91—

Look, there are a few things you need to understand based on my trading experience. There
are 2 conditions under which you can trade in Gold:

1. When Gold is at an All-Time High:

Whenever an IDM (Inducement) is formed on any time frame, start buying from the POI
(Point of Interest) just below it after a 1-minute MSS (Market Structure Shift)—keep buying
until a CHOCH (Change of Character) happens.

2. When Gold is in a Range:

To determine the bias, avoid relying on smaller time frames as you’ll often get trapped.
Instead, observe where the Daily Order Block (OB) and 4H Order Block (OB) are—price is
bound to move toward those levels.

Don’t rely on FVG (Fair Value Gaps) unless there’s an IDM—FVGs usually get invalidated
without one.

After that, you can plan your trade entries on smaller time frames while managing your stop-
loss (SL).

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My Rule 92—

Always remember, gold moves fast — there’s $18 trillion money in it. Whenever it starts
slowing down somewhere, understand that something unusual is about to happen.

ICT Rule 93—

Daily and 4H OBs are strong areas of supply or demand. They often have enough momentum
to reverse market direction, so they shouldn’t be ignored unless price action breaks and closes
beyond them with confirmation.

My Rule 94—

Let me tell you something — listen carefully:

The gold you trade in is not an ordinary thing. It holds a total value of $18 trillion.
This is no joke — in the entire 12,000 years of human civilisation, no other asset has
ever held so much money. Forget Bitcoin and other currency pairs — trading holds
money beyond all limits.

Do you know what GDP is?

It’s the total value of a country’s land, property, people’s salaries, and the income
from all industries like Tata, Birla, Ambani, Adani. Basically, everything that belongs
to a country and everything it produces — that is GDP.

How much money is in your country?

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India is the 7th largest country by area out of 195 countries in the world, and its GDP
is $4.2 trillion. Which means the money in gold alone is five times more than India’s
entire economy. There is so much money in trading that it’s hard to even comprehend.

Now understand one more thing —

In modern India, apart from British companies, there were only two truly powerful
local companies:

TATA and RELIANCE.

TATA was started in 1907 by Jamsetji Tata as TISCO. After the Swadeshi Movement
in 1905, people began supporting Indian companies and opposing British ones.
RELIANCE was founded in 1966 by Dhirubhai Ambani. These companies
manufactured products like steel, textiles, petroleum, sold them, and made profits.

It took these companies decades to rise — But then came one man: Harshad Mehta,
who surpassed everyone in net worth without building any company.

From 1986 to 1992 — just 5 years —

Harshad Mehta earned about $2.3 trillion or $27 billion purely through trading. At
that time, India’s entire GDP was just $288 billion. And he had neither any industry
nor any service sector. So how did he make so much money?

The answer is: through trading. Yes, it’s also true that he was convicted for market
manipulation and a bank scam in 1992, and was sent to jail. But understand the core
point — What is the trading industry, really? And along with that, understand one
more critical thing —

Every industry needs raw material to survive:

• Steel industry needs iron ore, copper, etc.

• Film industry needs audience, actors, etc.

But in trading, everything is free:

• Apps are free

• Websites are free
• Even account opening is free

So what is the raw material of this industry?

You are. You are the raw material of this industry. It is a zero-sum money industry —
Which means whatever one person earns, someone else has to lose. If you add up all
traders’ profit and loss in a single day — The net result is always zero.

Now the question is — Are you ready to step into this world — to become rich or to
lose money? Because in this industry, only 3–6% people actually succeed.

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And the entire decision — is up to you.

ICT Rule 95—

Understanding a Key Concept: Why Are Stop Losses Often Triggered at Higher Time
Frame Points of Interest (POIs)?

1. In most cases, the initial displacement or Change in the State of Delivery (CISD)
tends to be deceptive. This often acts as a trap for newcomers or less experienced
traders who enter trades solely based on the POI. While it can occasionally work, the
probability of success is relatively low, and the chances of failure are significantly
higher.
2. If the price truly intends to move in that direction, it will usually form a new Break of
Structure (BOS) along the way — this is referred to as the second displacement. In
such cases, it’s more effective to manage your stop loss during this phase and look for
a more refined entry. This typically leads to a much stronger and faster price
movement, allowing your trade to reach its target more quickly.

My Rule 96—

Even if there’s a 5-minute displacement, many 1H OBs still break if there’s an IDM and a
POI present. But a 4H OB is no joke — it can completely change the direction.

ICT Rule 97—

Order Block and Liquidity

Wherever these exist, the price is bound to go there.

Just like we want to make money, big players also want to earn profits. When they look at the
chart, they search for where the highest liquidity is. And wherever they find it, the price is
bound to move there, because only against that liquidity can large orders be filled. This is
what determines the market bias. After collecting liquidity, the price then moves towards a
nearby Point of Interest (POI).

ICT Rule 98—

The daily bias indicates the likely direction of price movement. As price moves along this
path, it encounters various Points of Interest (POIs), which may cause minor retracements.
However, these levels typically fail to hold, and the price continues in the direction of the
prevailing bias.

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ICT Rule 99—

It’s just like the game of cops and robbers — one hides, and the other searches everywhere,
looking around from all sides, until eventually he finds a way, sneaks up, and catches him.
And then the tables turn — the first one runs off and hides again, and now the other starts
searching. It’s exactly like that.

There’s a POI (POINT OF INTEREST) and then there’s LIQUIDITY — and the game happens
between the two. When price reaches the POI, it starts looking for liquidity, begins to hunt it.
And once it hunts liquidity, it turns around and begins looking for the POI again. And this
game just keeps going on. We only need to focus on figuring out the path price is taking, so
we can catch the ride and place our trade.”

My Rule 100—

If you’ve taken a trade and made a profit, just stay calm. Don’t jump into another trade
immediately. And if possible, avoid taking any new trade today. After making a profit, you
should only take risks on safe opportunities.

ICT Rule 101—

DEALING RANGE:

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This is quite a simple concept, like when a ball is thrown into the air, it keeps hitting the
ground and then bouncing back up toward the sky. It repeatedly bounces up from the ground
and falls back down from above — this cycle continues.

Price also doesn’t move in a straight line; it always moves in a stair-step pattern. Price hits a
low and goes up, then hits a high and falls — just like a ball. In this up-and-down movement
of price, a SWING is formed.

Now understand what happens: price is bought from the bottom — i.e., at a cheaper price —
and sold from the top — i.e., at a higher price. This is the fundamental system of any market:
the law of supply and demand — buying cheap and selling expensive.

That’s why we use Fibonacci’s OTE (Optimal Trade Entry). In the 0.79 zone of that
swing, the probability of a price reversal is the highest. This is called the “DEALING RANGE.”
Why is this important to know? Because it helps determine in which zone the current price
lies within the current swing — whether it’s in the discount zone (cheap) or the premium
zone (expensive).

If the price is at equilibrium, then no one is buying or selling — everyone is waiting for the
price to become cheap or expensive again so that trading can resume. That’s why at
equilibrium, the price is often seen ranging or consolidating.

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Now, there are some valid conditions required for OTE:

• First, the swing must be valid. If one does not understand external and internal
swings, the swing becomes invalid. It’s important to consider the fractal nature of
time.
• The Fibonacci tool should be applied body-to-body on the candles within the swing.
• There should be a Point of Interest (POI) near the 0.79 level; if not, the price may
break through it.
• Alignment with the trend is essential; otherwise, the measurement will be inaccurate.

ICT Rule 102— with my opinions

Why do we end up in losses?

There’s one straightforward reason: Marking the wrong POI (Point of Interest) and choosing
the wrong direction (Bias). Let’s now understand this in more detail — why and how this
happens.

What is POI? It’s the place from where big players are going to invest — meaning the area
from which the price will likely trigger.

What is Bias? It’s the direction in which the price is supposed to move.

Alright, that much is clear. So where do the real mistakes happen?

POI (Point of Interest):

There are so many POIs — on 4H, 1H, and minute candles — countless of them. So much
confusion:

Which one is valid? Which one will actually work?

• Always start with the higher timeframe.

• Use the Dealing Range to identify valid POIs — because it reflects the same old idea:
Buy low and sell high, or sell high and buy low. In a current swing, apart from the
first and last POI, all the in-between POIs are liquidity voids — or low resistance
liquidity zones, which the market is highly likely to fill.
• When the price triggers from a POI, it doesn’t just disappear suddenly. You can
actually tell that it’s moving. We observe its movement on lower timeframes to
understand its behavior. See — when big players invest, they invest so heavily that
candles start printing one after another — they don’t even touch each other. That’s
how patterns like FVG (Fair Value Gap) and OB (Order Block) are formed. By
observing this, we understand that yes, the big players have indeed entered.

Now, should you jump into the trade immediately and take entry? No — that’s not the right
approach. Right now, just sit back and watch. That initial displacement can also be fake,
often used as a trap to fool new retail traders. For now — do nothing.

Bias (Direction):

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Now think — if price needs to go from Point A to Point B, will it shoot like a rocket and
reach instantly? No. You’ll see it happening and you’ll understand what’s going on.

Let’s assume the distance between A and B is 100 meters. Should we try to ride the entire
100 meters? No. You should ideally skip the first 10–20 meters and the last 10–20 meters.
Only stay for the middle 60–80 meters of the price journey — this is safe trading.

So what actually happens?

A POI and displacement appear, you enter — but then you realize the market took external
liquidity and your Stop Loss (SL) got hit. Or that displacement was just a retracement — and
again, SL got hit. If the price really intends to move, it will move in that direction.

Once it has moved 10–20 meters and there’s another displacement or retracement — then it’s
safer to take entry. After entering your trade, high resistance liquidity should keep forming —

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this confirms that both the trade and the bias are correct. If not, you should exit the trade.
Otherwise you should exit just before your target at 60-80 meters— that’s the best trading
approach, the one where losses are minimized.

Is that all it takes to avoid losses?

Absolutely not. There’s still a lot more to understand. Do you know why most retail traders
lose in CASINOS eventually? No one wins — except for a rare few exceptions. It’s the
addiction to gambling. You have money in your pocket, and when you see that investing
₹100 could give you ₹1000, greed kicks in.

And greed is a natural human instinct. Who has ever escaped it? Humans are born with the
five vices — lust, anger, ego, greed, and attachment. No one can escape these while
they’re alive. Why did the Mahabharata happen? Greed for land. Why did World War I and
II happen? To capture more land. India and Pakistan have fought over Kashmir — because
of greed for land. Now if you’re sitting in a casino with money in your pocket, how will you
stop greed from rising in your mind? How will you stop yourself from taking money out and
placing it on the table? And this is what the casino owners take advantage of. Yes, they
manipulate things, but you are the one who took out your money and placed the bet — and
that’s when you lose.

I believe now you understand what I’m trying to say.

There’s no bigger gamble or casino in the world than Forex trading. This is the place where
you’re trying to turn ₹10 into ₹100 and ₹100 into ₹1000 in your trading account. So the real
question is — now that you understand the problem, what should you do?

The answer is — learn to control your greed.

You may not be able to fully control it — you’re not going to become some enlightened
monk like Swami Vivekananda overnight — but at least, there should be a system to
manage how much money you risk per trade. And never risk more than that. Not all your
trades need to win — even a 50% win rate is enough. But you must learn not to immediately
throw your money into a trade. Trade slowly, trade carefully — and focus on preserving
capital while steadily growing it.

ICT Rule 103—

Events That Occur at Higher Time Frame POIs: important for intraday BIAS

Whenever the price reaches a Point of Interest (POI) on a higher time frame such as the
monthly, weekly, or daily chart, two possible scenarios can unfold:

Case 1 – The price breaks through the POI and continues moving forward.(which is almost
impossible)

Case 2 –

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• The price halts and forms a range,

• Then creates a displacement,
• Retests the displacement,
• And finally continues in the intended direction.

Let’s understand this with an example involving a daily POI:

Suppose the price reaches a daily order block. It usually takes at least three days to build
liquidity at that level:

• Day 1 – The price arrives at the order block.

• Day 2 – The price creates a displacement.
• Day 3 – The price retests that displacement on a lower time frame.

(Typically, the real movement only comes after all POIs on the lower time frame are
retested. Until then, the price tends to hover within that zone to tap all remaining
POIs.)

• Day 4 – This is the expansion day, because by now the price has tapped all relevant
POIs on the lower time frame after the displacement. There’s nothing left to tap, so
the price doesn’t need to pause anymore. By this point, all pending orders from big
players have been filled.

Additional Cases:

Case 3 – If the price taps the daily POI and immediately creates a displacement (a “tap and
go” move), then the next day, the price may come back to tap POIs within that displacement
zone on a lower time frame.

Case 4 – When the market forms a three-candle swing near a strong resistance, especially
around an ALL-TIME HIGH, the market often reverses. This scenario also takes around three
days to build liquidity, followed by expansion on the fourth day.

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My Rule 104 – With My Opinions

The question is—

Why do so many traders fail even after learning ICT and SMC, even
though it’s widely known that these strategies work in trading?

Let’s understand this in depth—

In the same classroom, a teacher teaches a hundred students, yet their results are never
identical. In the same field, a farmer sows seeds, but not all the plants grow the same.

We may all look like human beings, and though our DNA may be similar, it’s not exactly the
same. Even our existence—at least in terms of brain structure and physical form—isn’t the
same.

We are all born in different places, raised in different environments, brought up in different
ways, educated differently, which leads to different intellectual development and varying IQ
levels. Throughout our lives, we’ve been shaped by our surroundings and circumstances. Our
ambitions and mindsets differ. Hardly any of us grow up thinking we’ll become traders.
Somehow, through the ups and downs of life, we end up in the world of trading.

What we understand about trading, how important it is to us, how much we believe in it, how
much money we want to make, and what we plan to do with that money—these thoughts vary
from person to person.

Now think about this carefully—

In today’s 21st century, the world has nearly 8.2 billion people. Why doesn’t everyone do the
same thing, at the same time, in the same way? Why doesn’t everyone live life the same way?
Because not everyone is meant to be the same. In fact, it’s completely impossible. But the
one who is meant to become something—becomes it. And the one who isn’t—never does.
Lord Buddha rightly said: “We become what we think. We become what we desire.”

Success in trading—

It depends on what trading means to you and what you mean to trading. Let me explain:

To a dead man, land is just dirt. But to a soldier, that same land is Mother India, and to a
farmer, it’s Mother Earth. The dead touch that soil and it means nothing. The farmer touches
it and bows, calling it the goddess of prosperity. The soldier touches it and calls it Bharat
Mata with pride.

Trading is a living force. It is an art. It is devotion—like that of a devotee to their God.

It’s not just about pressing the buy or sell button. In this world, any person who doesn’t hold
a sense of devotion towards trading is spiritually dead. And how can the spiritually dead
succeed?

Fifth pillar of the economy, the Quinary Sector—

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A farmer adds seeds, fertilizer, water, works tirelessly, and after a long wait, the crops grow.
A soldier lives and dies in forests and mountains, often without food or sleep, for his country.
And you think that just by reading a few books or watching a few lectures, you’ll master
trading and start printing money? That’s not going to happen. Trading is the toughest
financial sector in the entire human economic system. It’s known as the 5th pillar of the
economy, the Quinary Sector. In a regular economy, you get paid for goods or services.
Here, you’ve produced neither—so why should you be paid? You get paid for your intellect.
And true intellect means a sharp mind. A sharp mind is like a good seed—it always produces
a healthy harvest.

You dream—

“The day I start printing money from trading, I’ll buy a big house, a luxury car, go on
international trips, live a lavish life, wear gold and silver, flaunt it all over social media, shut
people up, make them jealous—this will be my comeback.”

This is how most people get influenced into trading. But where is your love and devotion for
trading in all this? This is nothing but show-off. Your mindset is cheap, petty—just like those
worthless clout-chasing YouTubers and influencers. When you truly love something, when
you’re devoted to it—you protect it. You don’t parade it naked in front of the world. Even if
you make some money through sheer luck or randomness, you won’t be able to handle it. Or
even after making money, you still won’t be able to hold your head high with self-respect. To
earn that kind of self-respect, you need to be honest with yourself.

Trading is a mind game—

Like chess or solving a puzzle. And the mind only works well when it’s calm, not when it’s
filled with greed and desire. The world’s wealthiest minds aren’t great because they were
rich, but because they were at peace. Swami Vivekananda’s mind was sharp because he was
calm, not greedy, not showy, and held no hate in his heart. No matter what kind of
environment or life you’ve come from, trading has a specific standard, and only those who
adapt to it succeed. Others get filtered out. You don’t need more strategies. What you need is
dedication. To win in trading, you must live it, feel it—it has to be present in every breath
and flow through your blood. And only a handful of people are truly ready for that. That’s
why success in trading is limited to just a small percentage of people.

ICT Rule 105—

Everyone says there are buyers and sellers. But in reality, there are no such buyers and
sellers—there are only retailers and big players in the market.

ICT Rule 106—

Whenever a monthly candle opens, the first week usually retests a nearby (POI) Point of
Interest or grab liquidity (this is almost like a Juda swing) and the remaining weeks continue
the trend.

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ICT Rule 107—

Events that occur at any POI (Point of Interest):

• First, the price taps the POI.

• Then some displacement occurs, and until a valid displacement happens, external
liquidity is taken from that area.
• Due to the large displacement, the price needs to return and retest all the POIs formed
on smaller time frames in that area.
• Once the last POI is also filled, the price continues its move.

Note: This must be remembered precisely for the Monthly, Weekly, and Daily timeframes.

ICT Rule 108—

There is no single fixed strategy in the market. Every month, every week, every day presents
a different scenario. There are some similarities, some common patterns, but the market
doesn’t operate based on just one parameter.

ICT Rule 109—

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In most cases, the PULLBACK during a swing rally is slow and comes with low-resistance
liquidity, which is meant to be broken. However, the CONTINUATION rally is usually fast and
accompanied by high-resistance liquidity.

ICT Rule 110—

Sometimes the market gets stuck between multiple POIs (Points of Interest), and many new
POIs also begin to form in that zone. This is a complete trap designed to generate liquidity by

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targeting retail traders. At such times, it becomes very confusing to decide what to do. In
these situations, there are three important things to keep in mind:

i. Pay attention to the monthly, weekly, and daily profiles.

ii. Wait for POIs that align with higher time frames.
iii. Give more importance to POIs that support your bias.

My Rule 111—

DILEMMA-BASED CASE STUDY TO FIND BIAS—

This is exactly like a DILEMMA-BASED CASE STUDY, similar to the ones asked in the CBSE
12th exams or the UPSC Civil Services Exam — the kind that really shakes up your brain
while solving. It’s not something where you can just casually walk in, instantly identify the
bias, and easily catch the price movements — not at all. Everything is connected like links in
a chain. When you anticipate one direction and then see it unfolding that way, your
confidence keeps growing. It can take hours of thinking and reflection. Trying to determine
intraday bias without knowing the monthly and weekly profiles is completely the wrong
approach.

ICT Rule 112—

When the price moves up rapidly without forming any swings, many retailers also enter
during that move. Their stop-losses are usually placed just below the point where a swing
eventually forms. As the price keeps creating multiple swings, there tends to be stop-loss
liquidity below each swing. The price pulls back to capture that liquidity before continuing in
its original direction.

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ICT Rule 113—

All the Points of Interest (POIs) against the bias only provide temporary retracements, not
complete reversals. And when a key level is nearby, the price taps the first POI and then
moves away.

My Rule 114—

In trading, there are only two categories: one is the winner, and the other is the loser—there’s
nothing in between. And the ratio is completely uneven—either a lot or very little.

ICT Rule 115—

USD news and the DXY (Dollar Index) have a strong impact on gold. Some news affects it in
the short term, while some can have a weekly or even monthly impact.

My Rule 116—

I was never really into just buying and selling; I wanted to understand how this market
algorithm works — what it is and how it moves. I wanted to learn and understand all of this.
It was my curiosity; trading itself could always come later.

ICT Rule 117—

Key Level —

It is the place where the price wants to go.

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Market Profile —

What is the true directional intent of the market on the monthly, weekly, and daily
timeframes — where does it want to go, and why? And the market moves only toward
liquidity and points of interest (POI).

ICT Rule 118 —

DIFFERENT TYPES OF MARKET PROFILES —

Profile 1 —

Whenever the market ranges near a key level, it takes the liquidity and then reverses
direction. This is also known as Wyckoff theory or AMD Concept. (Turtle Soup Concept)

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Profile 2 —

When the key level has been taken and liquidity from there has been grabbed, and the market
ranges there, it doesn’t manipulate—instead, it directly expands.

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Profile 3 —

After taking one key level, when the market takes another key level as well, it then reverses.

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Profile 4 —

When the market ranges somewhere between two key levels, it first expands, then ranges
near a key level, manipulates while taking its liquidity, and then expands again.

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Profile 5 —

When the market has taken one key level and then ranges before expanding, but the
expansion isn’t strong enough to reach the next key level, it then retraces, forms a new
expansion, and after taking the key level, gives a reversal.

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Profile 6 —

When the market has taken a key level and is ranging somewhere in between, it can make a
fast expansion. Then, if there is no higher time frame POI in its path, it quickly reverses and
takes the other key level.

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Profile 7 —

But if there are multiple higher time frame POIs there, the market moves through them with
retracements. It doesn’t break through all at once.

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ICT Rule 119 —

Where not to trade:

i. In a range (during consolidation)

ii. In the manipulation that comes after a range

iii. During a retracement

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Where to trade (only two scenarios):

i. During expansion

ii. During reversal

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ICT Rule 120 —

When manipulation occurs within a range, it is always followed by an expansion. That trade
should never be abandoned under any circumstances.

ICT Rule 121 —

No concept of ICT trading can be understood just by explaining it in two minutes or five
lines. All the concepts are interconnected. Without understanding the monthly, weekly, and
daily market profile, you won’t really understand what’s going on. Whoever understands this
can play the internal range, because then they know the complete movement of the price.

ICT Rule 122 —

A Key Level is a price zone where the market “wants” to go — a magnet for price action. It
represents an area of liquidity, interest, or imbalance that attracts market participants.

It could be:

• A previous high or low (liquidity above/below)

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• A Fair Value Gap or imbalance

• An Order Block (institutional footprint)
• A strong supply or demand zone
• A round number or psychological level
• A Fibonacci level aligned with structure( Premium, Equilibrium or Discount)

% Why does price get drawn to Key Levels?

Because they hold liquidity, and the market seeks to:

• Trigger stop orders

• Fill unfilled orders
• Balance inefficiencies
• Induce breakout or reversal traps

ICT Rule 123 —

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BIAS — PRICE MOVEMENTS —

Just like in a game of football, the ball goes to one player, and he kicks it according to his
strength and talent. Then the ball moves toward another player, who also kicks it based on his
own capacity. The game continues like this until a goal is scored. And then a new round
begins, with all players focusing their attention on the ball again.

The same thing happens on a trading index chart. Price has to move from one place to
another. Think of price as the football, and the players as KEY LEVELS. Now the price, like
the ball, goes to a KEY LEVEL 1, and that KEY LEVEL 1 kicks the price based on its ability
and strength. Then it pushes the price toward another KEY LEVEL 2. The price bounces off
the walls like players, and each time, it moves toward the next forming key level (KEY
LEVEL 3, KEY LEVEL 4, etc.)

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Case Study Question (IAS Mains Exam) —

Below is a case study question involving an ethical mental dilemma — take a look.

Question: A minister pressures you to promote an undeserving staff member to a senior post.
The file has been pending on your table, and your decision will set a precedent. Refusal might
cost you politically.

• How would you deal with this situation?

• How do integrity and accountability play a role here?

Answer: You cannot give accurate or final answers to such questions instantly or in a snap.
You’ll have to think, analyse, reason, and reflect before answering. Even then, the answer
may not be 100% correct, but it will aim to be the most appropriate one possible.

In the same way, identifying bias at key levels is like solving a case study. It can take hours
and requires a lot of knowledge. Simply glancing at an index chart and figuring out the bias
and KEY LEVELS in five minutes is completely the wrong approach.

Bias Narratives with Key Levels —

On the index chart, price is on a journey — it’s searching for something. Those “somethings”
are the KEY LEVELS — like a Point of Interest (POI), or some form of liquidity. Once price
reaches those areas, what happens there is what we observe, analyse, and interpret. Using our
learned knowledge, we try to determine the next possible KEY LEVELS. When we see the
price moving accordingly, we feel a bit satisfied that the direction seems right.

This entire journey begins from the monthly, weekly, and daily candle charts. Without
starting there, it’s not possible to identify KEY LEVELS correctly.

Final Thought:

Identifying bias in the market is not a quick decision. It is a thoughtful and analytical process
— much like reading the positions of players in a football match and trying to predict where
the ball will go next.

The real job of a trader is this: observe, think, analyze — and then make decisions with
confidence.

ICT Rule 124 —

What Is IPDA?

The Interbank Price Delivery Algorithm (IPDA) is a theoretical concept. According to ICT,
the IPDA governs how prices are delivered in the forex market by large financial institutions
(such as central banks, hedge funds, and commercial banks) through algorithmic means. This
is useful for determining the bias of the monthly cycle.

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ICT Rule 125 —

What Is an Open Float Liquidity Pool?

An Open Float Liquidity Pool typically refers to: A visible, uncollected cluster of orders
(liquidity) sitting above or below market price that has not yet been mitigated or swept.

My Rule 126 —

गु# $%ा, गु# िव)णु, गु# देवो महे0रः।

गु# सा5ात पर$%, त8मै :ी गु#वे नमः।।

If you’re facing losses in trading… if you’re not able to make money… then ask yourself this
— have you truly listened to Nilesh Sir with your heart? Have you really tried to understand
him deeply?

Watching his lectures just once won’t help. Watch them 10 times, 20 times, maybe even 50
times — as many times as needed. Because I can confidently say — there is no one in the
entire trading world who teaches the way he does.

I’ve read thousands of books — on literature, philosophy, and psychology. I’ve written over
15,000 articles, have 12 years of hard-earned experience, and have traveled across the length
and breadth of India… but I’ve never seen a person, a teacher, like him.

And the most amazing part? In just 44 videos, he has taught you what most people can’t learn
in years.Now it’s up to you — your understanding, your patience, your IQ — how soon you
can grasp those teachings.

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It’s only been two months since I purchased this course, but I can say this — he is the kind of
person who can make a lotus bloom even in the mud. He can uplift someone who is poor and
broken — make them wealthy, give them confidence.

I’ve set a goal to make ₹20,000 crores in the next 10 years, and I will achieve it using this
very strategy. Nilesh Sir himself aims to make $153 million, which is ₹1,200 crores.

The goal is to grow beyond even Nilesh Sir’s guidance. A true student is one who strives to
surpass their teacher—for to remain behind is to have never fully embraced the teacher’s
wisdom. Greatness lies not in imitation, but in evolution. Just as Arjuna rose beyond his guru
Dronacharya, Chandragupta Maurya outgrew the legacy of Chanakya, Plato advanced the
ideas of Socrates, and Alexander built upon the teachings of Aristotle. History is filled with
countless such examples where the student became the torchbearer, carrying the light even
further than the one who lit it.

I’m not a sycophant. I’m simply speaking the truth — and the truth is, I have wholeheartedly
accepted him as my Guru. May God bless him with a long life, good health, and peace of
mind.

Guardeer Rule 127 —

Nilesh sir always takes trades on the side where there is LOW RESISTANCE LIQUIDITY,
which allows the price to move quickly in that direction and the trade gets completed faster.

ICT Rule 128 —

Let me repeat once again what Sir has said about bias:

Monthly:

1. IPDA
2. Open Float Liquidity Pool
3. Juda swing of monthly candle (first week of month opening)
4. Three-candle swing, Gap (FVG and imbalance), Block (all types of blocks), Liquidity
(all types of liquidity)

Weekly:

Three-candle swing,

Gap (FVG and imbalance),

Block (all types of blocks),

Liquidity (all types of liquidity)

Daily:

Three-candle swing,

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Gap (FVG and imbalance),

Block (all types of blocks),

Liquidity (all types of liquidity)

• Whenever the price reaches a level, there’s always a displacement. If that

displacement is valid, the real move only comes after the Price of Interest (POI) gets
filled.
• To support this, we apply the Dealing Range (OTE). That’s all that needs to be done
to determine bias.

Nilesh Sir’s new course doesn’t have even a single lecture on trade entries, nor did he make
13–14 videos just to show how to enter trades or check random things. All lectures are based
on higher timeframes—monthly, weekly, and daily. What he’s trying to explain thoroughly
is: don’t think small in the market. You must understand the full story. Once you know
everything, then even if a setup looks difficult at the time of execution, you’ll still know
exactly what to do.

ICT Rule 129 —

When the order block candle is smaller than the next candle, a weak order block is formed;
and when it is larger, a strong order block is formed.

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My Rule 130 — with my opinions

There are a few things that are absolutely essential to understand:

1. No trade can ever be a “perfect” trade. That means you’ll never get an entry
exactly at the perfect spot and exit right at the top. Expecting that is like assuming
someone will give you the perfect trade analysis and your job is done. But the reality
is, even the person giving the analysis doesn’t know the exact entry, stop loss, or take
profit in advance. In the 14 videos of the new course, not once has Nilesh Sir talked
specifically about trade entries, stop loss, or exits. He always teaches based on price
movement, and that too on the higher time frames. He repeatedly focuses only on
developing a bias. Executing and managing trades is something that depends on your
own intelligence. That’s why he takes trades at different points without any fixed
pattern.
2. If you don’t fully understand the story of the higher time frame bias, you’ll keep
getting stuck in internal ranges. Just spotting a 4H Order Block, a 1H Fair Value
Gap, or a 15-minute OB and entering a trade based on that is the wrong approach — it
will lead to losses. You must have a clear understanding of what price has done on the
higher time frame and what it wants to do next.
3. You only need a 50% win rate with a 1:3 risk-reward ratio to make a lot of
money. You don’t need to win every trade. If you win just 5 out of 10 trades with
proper RR, you’ll still be profitable.
4. Let me share a mistake I made: I took the course last March, and within 10–15
days, I learned how to take trades. At that time, gold was in a strong buying bias,
trading near all-time highs. The structure was clear and simple, so most of my trades
were working out well. But for the past 40 days, gold has been in a complicated
structure — moving within a 1000–2000 pip range. That’s when many of my trades
started failing. I began asking myself: Where exactly am I going wrong?

That’s when I realized — I was trapped in the internal range.

Gold sometimes forms an easy structure, which is easier to trade. But it also forms
complex structures, which you can only trade well if you fully understand the higher
time frame bias.

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My Rule 131 — CASE STUDY 1

Let’s understand what this case study is about:

• Price has broken out from a key level, which was a 1-hour POI (Point of Interest). So,
it is likely to move toward another key level — which, in this case, is the daily
liquidity zone, i.e., Key Level 2.
• There is low-resistance liquidity built up below, which will eventually be filled. But
the question is:

Will the price drop straight from the current level to fill that low-resistance liquidity?
The answer is: Definitely not.

• First, the price will complete the move to Key Level 2. Then, if a reversal setup
forms, the price may drop again toward a POI below — which would be a new Key
Level.
• So, if someone wants to take a trade now, where could that trade be taken from? For
example, if an IDM forms, a trade can be taken from the first POI up to Key Level 2.

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Result —

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My Rule 132 —

HEDGE MONEY — Big theory to minimise risk—

अभी इसके बारे मB सोच रहा हDँ

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ICT Rule 133 —

No POI (Point of Interest) and no liquidity can ever escape price—it’s just a matter of time.
It’s all about when their time comes. A 1-minute candle moves quickly so that a POI can be
formed on the 5-minute chart. Similarly, the 1-hour candle moves to form a POI on the 4-
hour chart. The same goes for daily, weekly, and monthly charts. But it’s never the case that
price won’t eventually fill that POI or liquidity—it always does. Everything gets filled; it’s
just that each one does so according to the timing dictated by its own fractal nature.

My Rule 134 —

Question: So many stop losses get hit. Whenever I take a trade, it goes in the opposite
direction. My mind gets lost in the chaos of price action—what exactly is going on? Am I not
learning properly? Is there something wrong with the person teaching me? Or maybe… I’m
just not meant for trading?

Answer: Dr. Hahnemann, the father of homeopathic medicine, discovered more than 90
remedies—but only after first creating those illnesses within his own body.

A sick person urgently needs medicine to survive. When we are born into this world, we
don’t know how to speak, write, or walk—but we still learn. So doubting whether you’re cut
out for trading is, in itself, the wrong question. It all comes down to how important trading
is to you.

First, you need to identify where the problem lies—only then can you start looking for a
solution. If your stop losses are getting hit, then ask why. Was the POI (Point of Interest)
incorrect? Was your understanding of liquidity flawed? Or was your directional bias
mistaken?

You need to take a step back and reflect calmly. And what’s beautiful is that Nilesh Sir, in
his lectures, has already answered most of the questions you haven’t even thought of
yet.

This is the real issue—food only tastes good when you’re truly hungry. What truly matters
is how deeply you crave trading. You must make mistakes first. You have to fall ill. Then
comes the real choice—some people resign themselves to their illness and call it fate, or they
remain stuck in it due to laziness. But a few… a few are like Dr. Hahnemann—who seek the
cure to their illness.

Trading is an art entirely driven by curiosity. Whether it’s for developing bias, planning
entries, setting stop-loss or take-profit levels—everything is already covered in the lectures.
The real problem lies within: how deeply are you willing to feel and absorb that knowledge?
There is no lack in the teacher, and no lack in your capability either. The only thing
missing— is your curiosity and your willingness to search.

ICT Rule 135 —

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When liquidity is grabbed at a certain level, and if the price still intends to continue in that
direction, it’s essential for a subsequent candle to close beyond the candle that captured the
liquidity.

ICT Rule 136 —

When the market is in a range, no POI (Point of Interest) gets formed. So the question
is, how does the market move then? Because a POI is needed to push the price, right?

At that point, the market uses liquidity itself to break out. It suddenly creates momentum in
one direction—not just to hunt the liquidity on that side, but then it does the same on the
other side as well. This is what we refer to as SSL (Sell-side Liquidity) and BSL (Buy-side
Liquidity).

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My Rule 137 — CASE STUDY 2

Let’s understand what this CASE STUDY is about:

1. The price is in a strong buying trend overall, because it has broken out after forming a
three-candle swing on both the weekly and daily timeframes. So, will the price always
keep running upward? Won’t it retrace somewhere? Of course it will — but only if
there’s a strong Key Level to stop it.
2. The price is stuck between two Order Blocks (OB) on the 4H timeframe. The first OB
forms at Key Level 1, and the second OB forms at Key Level 2.
3. Key Level 1, i.e., the 4H OB, gains significance because it’s the last OB of this leg
that can potentially stop the price — at least temporarily. Otherwise, this same price
has already broken through several OBs below.
4. Why could a reversal setup form at Key Level 1? Because the price did not respect the
first POI (Point of Interest) of this leg — the 1H Imbalance — and instead broke

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through it and already made a 15-minute MSS (Market Structure Shift) towards
selling. So, all the intermediate buying POIs become low-resistance liquidity zones
that the market can easily fill.
5. Between Key Level 2 and Key Level 1, a 4H swing has formed. If we determine the
dealing range of this swing, the OTE (Optimal Trade Entry) zone of 0.6–0.79 falls
around the 4H OB near Key Level 1 — meaning this is the safest zone to look for
buying within the entire swing.
6. After hitting Key Level 1, the price formed an OB on the 1H timeframe. If the price
breaks above that OB and moves further, then it can be a valid buying opportunity.
7. There are roughly 500 pips between Key Level 2 and Key Level 1, which can be sold
into, with proper SL (Stop Loss) management.

Result —

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My Rule 138 — CASE STUDY 3

Let’s understand what this is — CASE STUDY 3

1. There’s heavy monthly buying going on — based on IPDA and the Open Float
Liquidity Pool, and no significant liquidity hunt has occurred this month yet.
2. The way Gold reversed from the POI (Point of Interest) on the weekly and daily
charts with a three-candle swing suggests that above, there’s a zone of Low
Resistance Liquidity — essentially, retail traders’ money — which the price will
likely hunt. However, price won’t just rocket upwards immediately — there’s still a
lot left to unfold below.
3. On the 4H timeframe, there are two key levels — Key Level 1 and Key Level 2. Let’s
analyze this carefully: between these two levels, there’s an FVG (Fair Value Gap)
showing buying activity, which is actually an SMT — Smart Money Trap. This FVG
buying is only trustworthy if the price can close above Key Level 1, which is quite
difficult.
4. If price reaches Key Level 1, it can be sold for a 500-pip move down to Key Level 2,
but only under one condition: the move up to Key Level 1 must pass through Low
Resistance Liquidity. If not, price may just slightly retrace at Key Level 1 and then
break through it and continue upward.
5. Key Level 2 lies inside a Daily OB (Order Block). But does price always fly off
immediately after tapping a Daily OB? Rarely. Price usually performs three actions
before making a strong move from such a zone:

A. Price first taps the OB

B. A displacement occurs (if it’s going to)

C. Price then fills all FVGs and OBs created by that displacement — meaning, it
retests them. After that, price is ready to make the next big move.

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This entire sequence can take up to three days, forming what’s known as a three-
candle swing formation, commonly recognized in ICT/SMC as a reversal setup.

6. If all these events occur at the Daily OB, then we must wait for the next three days to
let the process play out.
7. Wherever price is currently moving, if a POI (Point of Interest) for selling forms on
the 1H timeframe, then upon its retest, a 350-pip sell trade can be taken towards Key
Level 2.

Results—

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Results & Key Takeaways

1. Gold and the Dollar Index (DXY) Relationship

Gold doesn’t only react to news events — it typically moves inversely to the Dollar
Index (DXY) at most times. So, if the price action on the gold chart seems unclear,
the DXY chart can provide valuable insights and context.

2. Market Reaction to Negative News

The negative news led to a sell-off in the Dollar and corresponding buying pressure in
Gold. This inverse relationship played out clearly during the event.

3. Trade Outcome and Strategy Reflection

The trade didn’t hit the target; it closed at break-even (cost-to-cost). Does that mean
ICT or Smart Money Concepts (SMC) don’t work? Not at all. No strategy guarantees
100% winning trades — and that’s not the goal. The objective is to win around 50%
of trades while maintaining a solid risk-to-reward ratio of at least 1:3. Consistency
and discipline matter more than perfection.

4. Sticking to the Process

Should we jump to a new strategy tomorrow? Absolutely not. The goal is not to keep
chasing new concepts but to refine and apply the same process to understand
directional bias. Mastery comes from repetition and analysis, not from constantly
switching approaches.

My Rule 139 —

Even IAS toppers have a success rate of around 50%. Similarly, in trading, you only need to
win about half the time to be successful. But many traders make the mistake of chasing
perfection — trying to win 100% of the time by forcing strategies. When losses occur, they
refuse to accept them, and that becomes their biggest mistake.

My Rule 140 —

What I don’t do — and what I do:

1. I’ve never watched anyone’s videos except Nilesh Sir’s. I’ve also never felt the need
to wander around on social media, mainly because I don’t have the time — and
honestly, I haven’t found anyone else worth following.
2. I don’t chase every single video by Nilesh Sir, nor have I ever attended any of his live
classes in real-time. I watch them later at 2x speed — I simply don’t have that much
time.
3. I’ve watched Nilesh Sir’s recorded lectures multiple times — some even 4–5 times at
2x speed. The ones I found especially insightful, I watched even more often.
4. I came into ICT/SMC not just to make money — that came later — but because I
genuinely wanted to understand how the trading market actually works. What is this

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whole thing about? Is it real or just a scam? Does it truly run on patterns or
algorithms? I was never interested in scalping; I wanted to learn trading in its entirety
— the right way.
5. I found total lectures 44–45 by Nilesh Sir incredibly powerful. That’s why I don’t
wait for new classes, live sessions, or doubt-clearing sessions. If they come, great —
if not, that’s fine too.
6. I’ve never had the mindset of rushing into trades to make quick money, get rich fast,
or live in luxury. Those thoughts were never part of my approach. My only intention
was to understand the true reality of the trading world.

My Rule 141 — CASE STUDY 4

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Let’s understand what this is — CASE STUDY 4:

1. The market is stuck between two Key Levels. When it comes near Key Level 2,
buying can be considered. And whenever there’s an opportunity to sell within this
range, it can be sold targeting Key Level 2. However, selling in this scenario is a
counter-trade, which makes it very risky.
2. What if the market breaks the 4H Order Block (OB) near Key Level 1 and starts
moving upward — should we immediately jump into a buying trade? Absolutely not.
There’s a high possibility that the market might take all the liquidity from that area
and then form a reversal setup towards Key Level 2. If the market really wants to go
up, it will form multiple swings. In that case, buying should be done at the OTE
(Optimal Trade Entry) of any swing according to the Dealing Range.
3. When the market is in a range, it moves so slowly that no POI (Point of Interest) is
formed. So how does the market move, since a POI is usually needed to drive price?
At such times, the market hunts liquidity on both sides — this is its strength, and it’s
called SSL (Sell-side Liquidity) and BSL (Buy-side Liquidity). What should be done
in such situations? Nothing — otherwise, it may lead to losses. For effective trading,
the market should be trending so we can buy low and sell high, or sell high and buy
back low.
4. It’s also possible that due to the upcoming NFP (Non-Farm Payroll) news on 6th
June, big players are avoiding involvement in the market, and hence it may continue
to range until tomorrow.

Results —

Point — 2 correct ✅

This is the same concept Turtle Soup.

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ICT Rule 142 —

When we apply the Dealing Range OTE within a swing or look at the last POI in market
structure, both are essentially the same.

ICT Rule 143 —

When the price is moving between the high and low of two key levels, it almost always reacts
from the first POI and continues until it touches the second key level. It doesn’t reverse in the
middle — it just retraces temporarily. It can go up to the last POI only if some 4H or daily
POI comes in the way to stop it.

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My Rule 144 —

I don’t take trades just by looking at a POI, FVG, OB, or liquidity, nor do I scalp randomly. I
trade based on BIAS — where the price is and where it is supposed to go, that’s the trade I
take. Every time you do this, you will make a mistake and end up taking a loss.

My Rule 145 —

I can tell you the bias for the entire day, but where exactly you take the trade, where you
place your Stop Loss (SL) and Take Profit (TP) — that depends on your own judgment. The
way I determine the bias is something I know is 80-90% accurate, and even 50% would be
considered very good. But telling you the exact trade or SL — neither I nor anyone else can
do that. All of that is decided in the Kill Zone, because that’s the only time when the market

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moves fast. After that, things slow down and it just starts taking out SSL (Sell Side Liquidity)
and BSL (Buy Side Liquidity).

My Rule 146 —

Honourable Anand Kumar Sir, from the Indian state of Bihar, is the founder of the renowned
Super 30 coaching institute. He provided such exceptional education in mathematics and
science to underprivileged students that, one after another, they secured admission into
prestigious institutions like the IITs. He truly stands as a beacon in the field of education.

And then there is our own Nilesh Sir — the way he has taught trading with honesty and
dedication feels nothing less than handing over the key to a treasure chest of gold. It’s as if he
said to me:

“Neeraj, here is the key. And there, in front of you, is the forex market. Take as much
money as you need. Keep some for yourself, and share some with those in need — so that
everyone may benefit.”

I don’t consider Nilesh Sir just a teacher only; I see him as a divine figure in my life. He
came into my life at a time when I was searching for answers — and with him, it felt like I
finally found everything I had been looking for. The questions that haunted me for years
finally found their answers.

I had a deep desire to learn trading. But initially, it felt like no one truly wanted to teach —
everyone seemed driven by greed, making excuses instead of genuinely guiding. But Nilesh
Sir is different. A lecture that he could finish in just thirty minutes — he would stretch to two
or three hours, just to make sure not a single detail was left unexplained.

Anyone who hasn’t learned trading from Nilesh Sir, perhaps may never truly learn it
anywhere else.

If you’re saying that you’re unable to figure out the bias, or your trades keep hitting stop-loss
again and again — then it’s clear you haven’t truly listened to Sir, nor have you genuinely
followed what he teaches.

My Rule 147 —

After the trade moves from 1 to 4 or 5, we need to think about booking it, or else we can
carry it all the way through the bias.

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ICT Rule 148 —

What is a three-candle swing and why does it happen?

Understand it like this… imagine a ship in the ocean, moving at high speed from point A to
point B. Now, once it reaches point B and needs to turn around and come back—how will it
do that? Will it suddenly make a sharp turn and start moving backward? That’s not possible,
because the ship is very heavy and has no external support to make such an abrupt move. It
has to turn slowly, and only after completing the turn can it start moving back.

That means, for the ship to return, it has to go through three stages:

• A — First, it reaches point A

• B — Then, it turns at point B
• C — And finally, it starts moving back

Price action behaves in the same way. Wherever price has to reverse, it goes through three
key steps:

• A — It first reaches that level

• B — Then, it displaces (like the ship beginning its turn)
• C — Then, it retests the displacement zone

After these three actions, price is ready to move forward in the new direction.

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The three-candle swing is a fundamental method for identifying price reversals. It works
equally well across all timeframes. In my opinion, there is no rule in ICT (Inner Circle
Trader) concepts more important than this one.

ICT Rule 149 —

In most cases, we cannot rely on a Fair Value Gap (FVG) alone for identifying a Point of
Interest (POI). If the FVG is formed like a liquidity void, then it will definitely get filled.
However, if the FVG is formed after liquidity or an IDM (Inducement) during a fast trend,
then it can work more effectively.

For identifying a POI, always follow the Order Block (OB) — ideally the last OB of the
swing, although sometimes even the first OB can work.

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All these scenarios must always be checked on the higher time frame. The time frame in
which the POI is found becomes the higher time frame for determining the POI, the market
bias, and the dealing range.

My Rule 150 —

When a batsman is on the crease, he doesn’t stand there with a pre-decided plan to hit a six,
take a couple of runs, or go for a boundary on the next ball. He lets the bowler deliver the ball
first, and then — by observing its speed, line, length, and bounce — he quickly decides what
shot would be most effective to score runs without getting out.

This entire process happens in a split second — but only because of years of hard work,
practice, and experience. That’s what allows him to make fast, high-quality decisions. And
then, for the next ball, he resets his mind again and responds to the situation as it unfolds.

So how can you decide in advance whether you’ll buy or sell today?

The market, just like the game, changes every moment. You need to observe the structure as
it builds and breaks — and make your decisions accordingly. Sometimes, you even need to
reverse them.

That’s the only correct way to execute trades.

When you truly understand BIAS — meaning what drives price movement, and why it moves
— then you can trade in any timeframe, under any market condition.

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This in itself is a case study — trade execution doesn’t happen in just one direction or with
one fixed strategy. The market forms countless types of structures. And if you haven’t
practiced enough, you won’t even realise how quickly price moved — and how fast your
stop-loss got hit before you could react.

My Rule 151 —

Funded Pass Challenge Updated Strategy —

Compounding Money, Minimising Risk, Safe Account Blowing

$5k Account

Minimum Target: Always maintain at least a 1:3 Risk-to-Reward ratio or hold the trade
until full directional BIAS is complete.

Step-by-Step Execution Plan

Stop Loss Take Profit

Step (SL) (TP) Move Forward If… Reset If…
Step Total profit reaches $150 → Go Profit < $150 → Stay in
$25 $75
1 to Step 2 Step 1
Step All 3 trades lose → Go
$50 $150 1 or 2 trades win → Go to Step 3
2 back to Step 1
Step Account comes back to $5,000 (If no loss → keep
$100 $300
3 → Restart Step 1 growing)

$200k Account

Minimum Target: Always maintain at least a 1:3 Risk-to-Reward ratio or hold the trade
until full directional BIAS is complete.

Step-by-Step Execution Plan

Stop Loss Take Profit

Step Move Forward If… Reset If…
(SL) (TP)
Step Total profit reaches $6,000 → Profit < $6,000 → Stay in
$1,000 $3,000
1 Go to Step 2 Step 1
Step 1 or 2 trades win → Go to Step All 3 trades lose → Go
$2,000 $6,000
2 3 back to Step 1
Step $4,000 Account returns to $200,000 → (If no loss → continue
$12,000
3 Restart Step 1 growing)

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ICT Rule 152 —

BIAS & ENTRIES ——

• Use Monthly, Weekly, and Daily timeframes to determine the overall market bias.
• Use 4H, 1H, 30 min, 15 min, and 5 min timeframes to plan and execute trade entries.

Always follow these three confirmation steps, regardless of the timeframe:

1. Price must tap into a key level (e.g., order block, FVG, liquidity zone)
2. Displacement must occur (this may include a market structure shift - MSS)
3. Retest of the displacement or MSS should happen

✅ Enter the trade on the retest.

Once the entry is confirmed, price should expand and move in the expected direction.

ICT Rule 153 —

Whenever there is a POI (Point of Interest) within another POI, the higher-level POI always
carries more significance. The market tends to react according to the higher POI. Although
the lower POI may sometimes work, trading decisions should not be based on it alone.
Always follow the higher time frame for more reliable and accurate confirmations.

ICT Rule 154 —

How many types of POI (Point of Interest) are there?

Blocks

• Order Block
• Rejection Block
• Mitigation Block
• Reclaimed Order Block
• Breaker Block

Gaps

• Fair Value Gap (FVG)

• Imbalance

Priority Order (in terms of reliability):

Order Block > Imbalance > FVG

How many types of liquidity are there?

There are many, but the most important ones are:

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1. High / Low Resistance Liquidity

2. Swing High / Swing Low Liquidity
3. Monthly / Weekly / Daily High-Low Liquidity

Priority Order (in terms of reliability):

3>2>1

Guardeer Rule 155 —

Two Ways to Execute a Trade:

1. Smaller Lot Size, Larger Pip Target

• Use a small lot size and aim for a bigger move (more pips).
• This allows for a wider Stop Loss (SL) and Take Profit (TP), giving your trade
enough room to survive normal market fluctuations.
• Example: 1 lot × 1000 pips = $10,000 profit

2. Larger Lot Size, Smaller Pip Target

• Use a big lot size but aim for a small number of pips.
• This makes your trade more fragile. Since price often moves in both directions before
making a clear move, the risk of hitting your SL increases significantly.
• Example: 10 lots × 100 pips = $10,000 profit

Nilesh Sir Opinion:

“If you keep trading with the second approach, you won’t last long in the markets.”

My Rule 156 —

When I was in Kota, there was a highly intelligent teacher earning ₹17 crore per year. He
taught 400 students in a single class. Yet, despite his brilliance, only 5 students from that
class were selected for IIT. So, does that mean the others weren’t taught properly? Or that
they didn’t study? Not at all. In any field, around 80% of people are just part of the crowd —
unmotivated, unfocused, and not truly serious. They’re simply there, but they don’t add real
value. Then there’s the 15% — those who are average. They work hard, they’re capable, and
they try. But even that isn’t enough to achieve real success.

To succeed — especially in something as demanding as trading — you need more than just
effort. You need a sharp, accurate, and agile mind. If you don’t naturally have that edge,
you’ll need to work twice as hard to build it. Creating ten different backup plans and
thinking, “If this happens, I’ll do that,” won’t cut it. What matters is your ability to make the
right decision at the right time — with confidence and clarity.

If you want to be in the top 5% —

your mind needs to be as sharp as a sword.

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ICT Rule 157 —

When a lion is sitting in his den and starts feeling hungry, he goes out to chase a deer. But
once he catches it, why would he keep running in the same direction? His purpose has
already been fulfilled.

In the same way, when price completes a liquidity hunt on the chart, why would it continue
moving in the same direction? The target—capturing liquidity—has already been achieved.
At that point, it’s more likely to reverse or pause, rather than continue blindly.

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Just like you look for specific POIs (Points of Interest) at different times—like Order Blocks
(OB) or Fair Value Gaps (FVG)—so that you can take your trade entries, because you’ve
learned that price often bounces or moves strongly from POIs… in the same way, you also
need to look for liquidity. It’s exactly the same. Because after a liquidity hunt, price tends to
reverse. Now, how much the price will reverse depends on the strength or significance of that
liquidity.

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But you often ignore the fact that the price may have already hunted liquidity—so now the
market is ready to decide whether it wants to continue with the existing bias or reverse it.
And that’s something you must pay attention to.

Nilesh Sir Rule 158 —

Patience is essential. There’s plenty of money in the market, but executing trades at the right
time requires discipline and rule-following. Unfortunately, that’s difficult for people with a
weak mindset and shallow personality. Such individuals aren’t meant to succeed in trading—
they are the liquidity this industry feeds on.

My Rule 159 —

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Look at both maps above — each shows the route from Jaipur to Mumbai. But what’s the
difference between them?

When you view the map zoomed out (on a larger scale), the route is clear and easy to follow.
However, as you zoom in (smaller scale), the path starts to blur or even disappear, making it
easier to lose your way.

The same concept applies when identifying bias in trading. If you rely only on lower time
frames, you’ll likely get lost in the “jungle” of price movements. That’s why it’s crucial to
always start with the higher time frames to get a clearer picture.

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My Rule 160 —

Never fall for the trap of easy money. Don’t think about earning money the easy way. It’s
only by working hard that you learn how to manage money properly—and it also helps
develop your intelligence and skills.

In our country, there are so many children of politicians, actors, and cricketers who easily got
a platform or opportunity, but they couldn’t sustain it because they didn’t put in the hard
work.

My Rule 161 —

When you’re confident that a single trade can capture 1000 pips, there’s no need to trade
every day or every moment. Scalping becomes unnecessary—something our teacher, Nilesh
Sir, has clearly warned against. You simply wait patiently for the perfect setup.

But scalping can become an addiction. Constantly entering trades gives your brain a
temporary ‘kick.’ Staying in trades releases dopamine and adrenaline, which keep your mind
and body in a heightened, excited state. However, this state is extremely dangerous when it
comes to managing money.

Think about it—if a cricketer tries to hit a six on every single ball, you’d immediately call
him foolish. Likewise, trading all the time and expecting to win every single trade is an
immature and greedy approach.

This behaviour is driven by greed, which slowly disrupts your trading psychology. And once
your psychological balance is gone, the chances of incurring losses rise significantly. That’s
exactly what Mark Douglas taught. Just as Michael J. Huddleston is credited for SMC in
trading concepts, Mark Douglas is universally regarded as the authority on trading
psychology. There’s probably not a single serious trader in the world who hasn’t learned
from him.

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ICT Rule 162 —

Whenever there’s an important liquidity hunt (on the Monthly, Weekly, or Daily timeframe),
the 15-minute market structure shift (MSS) plays a very important role in indicating a
potential reversal. A trade entry can be planned from that point.

ICT Rule 163 —

You cannot rely on a Fair Value Gap (FVG) without the presence of an Inducement (IDM).
Within market structure, IDM acts as a liquidity provider, reducing the need for the market to
continue aggressively in the same direction. FVGs have a low success rate—working only
around 10% of the time—which is why it’s always important to wait for confirmation from
an Order Block (OB).

My Rule 164 —

The more deeply you become a committed student of Nilesh Sir, the more you begin to trust
his teachings completely—and gradually, you stop relying on your own assumptions. That’s
when true, powerful trading knowledge starts to develop within you.

But as long as your ego tells you that you already know something valuable, or that you can
master trading through your own shortcuts or by relying on scalping, you’ll remain stuck.
Real trading cannot be learned with that mindset.

My Rule 165 —

Taking 10 trades and winning 5 yields a 50 % win rate, and taking 2 trades and winning 1
also gives the same 50 % win rate. Yet there’s a crucial difference between the two scenarios:
professionalism and patience. Trading isn’t a world of haste and chasing; it’s a phenomenon
that unfolds quietly and calmly.

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My Rule 166 —

This is something important to understand — trading is not just about jumping from one POI
(Point of Interest) to another. Real trading is based on bias. You need to identify where the
price currently is and where it wants to go. That’s the real skill.

Often, the price fulfils its directional bias very quickly and doesn’t give a chance to enter on a
retest. That’s where Nilesh Sir’s experience shows — he knows how to jump in mid-move.
You’ll be surprised watching his trades, wondering how he managed to enter so suddenly in
the middle of the move. In one lecture, you’ll see him take a trade right at 3:30 AM IST when
the market opens, and he says, ‘I made $15,000,’ explaining that he already knew where the
price was headed — that’s why he entered mid-way.

When someone asks me for the RR (Risk-to-Reward ratio), I always say — no one else can
give that to you. You have to decide for yourself how much stop-loss you’re comfortable
taking.

There are two kinds of trading: immature trading — where people rush to enter without
thinking — and safe trading, where every element is analysed properly before execution.
Learn to trade safely.”

ICT Rule 167 —

What is Open Float?

The entire game is about liquidity—there are always certain areas where liquidity gets
accumulated. Typically, liquidity builds up around the highs and lows of every three-month
period. As soon as the market enters the fourth month, it often targets and hunts that
previously built-up liquidity. This cycle keeps repeating.

Understanding this helps in identifying the probable direction of the market.

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ICT Rule 168 —

During weeks when major events such as the —

CPI release,

NFP,

GDP,

Unemployment-claims data,

FOMC meetings,

Federal reports

are scheduled, the market usually remains sluggish until those releases actually occur.

My Rule 169 —

Nilesh Sir said in the lecture that whether news comes or not, whether the market ranges or
not, the algorithms that need to be followed will still be followed — and those algorithms
keep getting printed on the chart. You just have to observe the footprints and understand
what’s really happening in the market. ICT-SMC are about perfection — it all depends on
how accurately you can apply them. He also said that someone who learns from him can even
perform better than him, if they simply keep following the rules.

My Rule 170 —

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Look at what’s been done here deliberately. The sell-side trendline was broken—this trapped
retail traders, creating sell-side liquidity. Then the market moved up, triggering a breakout on
the buy side—again trapping retail traders and creating buy-side liquidity. After that, the
market came down and took out stop losses on both sides. This isn’t done randomly. The
people who run these algorithms are highly educated—graduates from places like MIT, IIT,
IIM, Oxford, Harvard, Cambridge, and Stephen University. They are extremely intelligent.

ICT Rule 171 —

One shot, one kill —

Taking a single trade that captures the entire week’s move, riding it from one end of the range
to the other.

Day 1 — Range

Day 2 — High or Low of the week

Day 3 — Trend

Day 4 — Trend End

Day 5 — Profit Booking

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My Rule 172 —

When you see the price running and it’s clearly visible to you, you start thinking about
entering a trade. But the real question is—will the price keep running like that? Why would it
keep running endlessly? No, that’s not how it works.

Price doesn’t just run for the sake of it—it moves from one point to another, and from there it
moves on to a new destination. But when you see it running, it has usually already reached
the place it was meant to go. Entering at that point often means taking a loss, because you
entered after it had already arrived. And now, it’s no longer supposed to stay there—it’s
ready to move somewhere else.

It’s like when you see a shooting star—you think it’s there, but in real-time, it’s actually no
longer at that spot. What you see is just an illusion of it being there. Its speed is so fast that it
changes position before time can catch up, and your eyes are tricked into thinking it’s still at
that point.

Similarly, on the chart, wherever you see the price—it’s often deceiving your eyes. It’s not
there because it’s meant to stay there; it’s there only because it’s on its way to somewhere
else.

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My Rule 173 —

Trading isn’t as difficult as you’ve made it for yourself—or as tough as it’s been made to
look. It’s actually much easier than solving Class 12 HC Verma Physics numericals. I’ve
solved them and even taught them, so I understand them well. Solving kinematics and
electrostatics problems can be exhausting. Trading is hard too—but only for those who don’t
follow the rules and keep making random decisions driven by ego.

No one has ever become another Isaac Newton, but countless people have become successful
traders. Compared to physics, this is far easier—you just need the willingness to decode its
puzzles and problems.

ICT Rule 174 —

What is Liquidity Grabbed?

The hawk had targeted the fish and caught it—so why would it go after the same target
again? No, absolutely not. It will fly off somewhere else.

That’s exactly what it means when liquidity gets grabbed. Price suddenly hunts liquidity,
collects all the stop-losses, and then immediately returns—because there’s nothing left for it
in that area anymore.

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My Rule 175 —

Any shopkeeper’s way of making a profit is by buying goods at a low price and selling them
at a higher price—that’s the core of their business model.

Case 1 – Suppose you’re a shopkeeper who sells apples. One day, you notice that apples are
being sold at a low price, so you buy them. The next day, you find they are even cheaper, so
you buy even more, thinking you’ll sell them later at a higher price. But then you observe that
the price keeps dropping every single day. At this point, a question should arise in your
mind—what exactly is going on?

If apples keep getting cheaper, it means nobody is buying them. In economics, this is called
low demand. And since you’ve already bought a heavy stock of apples in advance, they’ll
just sit and rot—because there’s simply no demand in the market.

Case 2 – Now suppose you see that apples are selling at high prices in the market, so you
start selling everything you have. But after a while, you notice that people have stopped
buying again. This situation is referred to as high supply in economics.

Conclusion –

Understand the fundamental rule of business: goods shouldn’t be bought just because they’re
cheap, nor should they be sold just because they’re expensive. The market only works well
when supply and demand are balanced. Otherwise, inflation and deflation occur, and both
lead to losses. Buying and selling must happen at an appropriate price, and that’s what leads
to profit.

The same rule applies to trading. Your buy and sell decisions must happen at the right
price—only then can you make a profit. Otherwise, you’ll always be stuck in losses.
Observing the market’s supply-demand balance and adding position size accordingly is the
right approach. This is the fundamental rule of the market. And if you think you can break
this rule and still profit from the market, that in itself is impossible.

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ICT Rule 176 —

In a fast-trending market, it often happens that you wait for the swing’s OTE (Optimal Trade
Entry), but the price moves away from equilibrium because the movement was so quick that
the price just started running. That’s why equilibrium itself becomes an important zone in
such situations.

ICT Rule 177 —

MSS, CISD, Displacement, Support, Resistance, FVG, OB, OTE, Equilibrium, Discount,
Premium, News, Liquidity, BOS, IDM, Volume Imbalance — all of these are tools for
trading. You might need them, but it’s not certain that every single one of them is absolutely
essential.

So the real question is: What is essential for trading?

The answer is: Bias — and to understand bias, you must know the profile and structure of the
monthly, weekly, and daily timeframes. If you don’t, you’ll keep wandering in the trap of
trading, never truly understanding what’s going on or why your stop-loss keeps getting hit so
frequently.

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My Rule 178 —

Cryptos, commodities, or currency pairs — what should we trade in?

Trading is best done in instruments that have high volatility and volume.

According to me, the trading priority order is:

Gold >>> BTC >> USDJPY > GBPJPY ~ EURUSD

My Rule 179 —

Ideal Entry and Safe Entry:

What usually happens is that every average-minded trader wants to buy from the bottom so
they can set a tight stop-loss, but they don’t realise that the price often won’t bounce from the
level where they’re buying. If the price makes an initial jump, it tends to move quickly; you
should then catch it further along, because that confirms the move is real. Size your lot
accordingly so you can manage the stop-loss.

The “ideal entry” module and a “safe entry” are two different concepts. In an ideal entry
you’re always taught how to place a proper stop-loss, whereas a safe entry means first
confirming that the bias is correct and then taking an entry somewhere in the middle of the
move. This second type of entry is what Nilesh Sir uses in live trading; even though he has
covered the ideal-entry module in Lecture 5, he often doesn’t use it—he prefers to wait for
multiple confirmations first.

My Rule 180 —

Even if you somehow manage to make a little profit by taking ten trades in a day—which is
already difficult—you’ll still end up confused and greedy, because your mental stability will
be disturbed, and you won’t be able to learn anything. You’ll keep getting trapped in the web
of profits and losses from all sides.

It’s much better to take just one trade and understand every possible scenario around it—why
it resulted in profit and why it resulted in loss. That’s what truly matters for your long-term
trading journey.

My Rule 181 —

In my opinion, when it comes to BTC, the 1H FVG and even the 1H Order Block often fail to
hold. The 4H Order Block and liquidity levels tend to work more reliably when aligned with
the bias, while the 4H FVG also frequently fails to deliver.

My Rule 182 —

Why Do Trades Fail?

There can be many reasons ——

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1. ICT/SMC strategies have a 60–90% success rate.

But even within that, trades can still fail if not followed properly.

2. Is the trader truly following the rules properly?

Just analysing isn’t enough—strict rule-following matters.

3. Higher timeframes always take priority.

Example 1:

Suppose in one zone you have POIs (Points of Interest) on 4H, 1H, 30M, 15M, and
5M timeframes, and the price taps only the 4H POI—then all the other POIs (1H,
30M, 15M, 5M) become invalid.

Example 2:

Suppose in one zone there are POIs on 30M, 15M, and 5M, and price only taps the
30M POI—then the 15M and 5M POIs become invalid.

4. A POI remains valid unless a candle closes beyond it.

However, if the price taps it and then moves far away, and later returns to the same
POI, that POI is considered invalid now.

5. Bias from higher timeframes dominates.

For example, if the Monthly bias is selling and Daily bias is buying, then the market
will follow the Monthly trend.

Yes, you may follow the Daily bias for small-range trades, but the overall direction
will follow the Monthly.

6. Often, the market moves against the news or the DXY (Dollar Index) chart.

So don’t depend on these alone.

7. Stable POI — What makes a POI strong and reliable?

o It’s untapped
o It aligns with the Bias and trend
o It’s from a higher timeframe
o It’s created at a valid/key location
o It is not an SMT (Smart Money Trap). Many POIs are fake, created to trap
retailers—these are SMTs.

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ICT Rule 183 —

Some myths about the Three Candle Rule swings —

You keep counting candles — go ahead, sometimes you’ll see two, sometimes three,
sometimes even four or five candles, and you won’t understand what actually happened there.

The truth is, you’re not supposed to just count candles — you need to observe the process
happening there: tapping, displacement, and retest — and after that, expansion happens from
the last POI. That’s the actual rule.

All these processes can sometimes happen within just two candles as well.

ICT Rule 184 —

You need to understand carefully whether liquidity was grabbed there or if it’s a rejection
block.

Both create reversal setups, but the movement from a rejection block tends to be faster.

My Rule 185 —

Question:

I don’t know how to analyse my trades in relation to news. Could you please recommend
what I should do?

Answer:

Use Forex Factory to check high-impact news. Look at the events marked in red and examine
the data provided there.

Example 1:

For USDCHF, the USD and CHF typically move in opposite directions. So if there’s positive
news for the USD, the US dollar is likely to rise — which means USDCHF will go up.

Example 2:

For EURJPY, if the news is negative for the Euro, then the EUR is expected to fall — and as
a result, EURJPY will also go down.

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Rule 186 ——

Nilesh Sir Fast Moving Strategy ——

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You need to carefully observe the left side of the printed chart to ensure there is no POI
(Point of Interest) remaining on any time frame (4H, 1H, 30M, 15M, or 5M), because POIs
are what usually stop the price. In other words, there should be only low-resistance liquidity
on that side and just make sure it’s in alignment with the BIAS. Then, the price moves very
quickly in that direction — this is called a Liquidity Run.

In such cases, Nilesh Sir often jumps in during the middle of the move, and at that point, you
have to manage your stop-loss manually. Sometimes, depending on the structure that’s
forming, you may even have to cut the trade. However, the momentum tends to be very fast
at that time.

From the two pictures above, you can see and understand how low-resistance liquidity got
completely cleared out, and how quickly the price moved as a result.

My Rule 187 —

Does scalping create greed?

Now see, throughout the day people keep forcing entries — entries that aren’t even valid
according to current market conditions — just to scalp 50–100 pips. This is extremely
dangerous; it messes with your mind and ensures you stay in loss most of the time.

Real trading is about bias. It’s purely mathematical and calculative. Anyone can do it — they
just need to use their brain properly. At the very least, they should have studied 10th-grade
mathematics and basic SSC-level reasoning. In my case, it was a bit different — I had already
solved 10–15 thousand numericals from 11th and 12th-grade Physics and Chemistry, so I was
able to grasp these things more quickly.

A greedy mind can never make consistent money in trading — and even if it does, it can’t
live in peace. And it’s scalping that fuels that greed. Even I used to think about those 100
pips, and I’ve done it too. But it never gave me peace of mind. I always wanted calm and
professional trading — not the kind of impulsive, immature stuff others do.

My Rule 188 —

Keeping a small stop loss and aiming for small targets is dangerous in itself. You should
increase both your stop loss and your take profit. The key point to understand is that price
doesn’t move in a straight line — it moves with ups and downs. If your stop loss is too tight,
it will get hit before the take profit, and even if the price later moves in your desired
direction, you’ll gain nothing. That’s why…

You should manage your quantity or lot size according to the setup in each trade.

A 25-pip SL and a 100-pip TP gives a 1:4 risk-reward ratio.

A 100-pip SL and a 400-pip TP also gives the same 1:4 risk-reward ratio.

But in the first case, there’s a higher chance of hitting stop loss frequently — and your greed
must stay under control.

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Even if you don’t scalp, I’d say in gold, you can easily capture around 500 pips per week,
which isn’t bad — that’s 2000 pips per month.

Even if you trade with just 1 standard lot, you could make over $100,000 a year.

Now think — who in our country earns ₹1 crore in a year?

Only 1% of the population earns that much (as per India Today’s 53 LPA stat). You’d be
among that top 1% in the country. That’s not a small thing — that’s huge.

Even among IITians and doctors, very few achieve this — less than 1%.

My Rule 189 —

Questions: How much time would it take to grow a real account of $1,000 to $100,000, and
with what lot size can it be done?

Answer: I’m speaking from a practical perspective — something that can actually be done.
Yes, this method is extremely risky, and maintaining a 50% winning rate with a 1:3 risk-
reward ratio is very difficult — but not impossible. A month typically has around 22 trading
days, and realistically, you can get 16 good trades in that period. Based on that, the following
statistical breakdown makes sense and helps explain the strategy.

The lot size will keep changing every month based on the number of trades. Each time, the
stop loss will be calculated as 1/16th of the total capital.

One more thing — the way we calculate this on paper or in a model is never exactly how it
happens in the real market. According to the math, $1,000 could become $100,000 in 7
months. But in my understanding, considering all practical aspects and market behavior, it
would likely take 8 to 9 months to reach that level — and only if the pattern and rules are
followed with complete discipline.

Trading Plan Summary (Realistic and Practical)

• Total Trading Days: Around 22 per month

• Expected Trades per Week: At least 4 quality trades
• Winning Rate: 50%
• Trades per Month: 16 trades
• Risk-to-Reward Ratio (RR): 1:3
• Initial Capital: $1,000
• Risk Allocation: Capital is divided equally into 16 parts

(i.e. 1/16th of the total capital per trade)

Monthly Compounding Approach

• You risk 1/16th of your capital per trade
• With a 50% win rate and 1:3 RR:
o 8 winning trades → 8 × 3 = +24R

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o 8 losing trades → 8 × 1 = -8R

o Net Profit = +16R
• Since 1R = capital ÷ 16 → 16R = 100% capital growth
• Therefore, at the end of the month, capital doubles

In the next month, you treat the new balance as your total capital and repeat the process.

What This Means in Practice:

Month Starting Capital Monthly Gain Ending Capital

1 $1,000 $1,000 $2,000
2 $2,000 $2,000 $4,000
3 $4,000 $4,000 $8,000
4 $8,000 $8,000 $16,000
5 $16,000 $16,000 $32,000
6 $32,000 $32,000 $64,000
7 $64,000 $64,000 $128,000

Important Notes:

• This growth is mathematically possible, but not guaranteed.

• In the real market, results vary due to:
o Emotional decisions
o Spread, slippage, execution issues
o Missed trades, overtrading, or forced entries
• That’s why I said it may take 8–9 months instead of 7. That’s a practical mindset.

My Rule 190 —

Look, the overall goal is to minimize losses and maximize profits, and there are some ways to
do that:

1. Don’t wait for the stop-loss to be hit — if a different structure forms during the trade,
exit the trade. When a proper and favorable structure forms again, then re-enter.
2. As long as the trade is running in profit, don’t think about exiting early. Book the
profit only at an appropriate price. But if it is running in loss, then you do need to
think carefully.
3. You can take 2–3 successive entries on the same bias, by managing your stop-loss
properly.
4. Having patience in losing trades is foolishness — it’s like having cancer in your body
and deciding to be patient with it.

My Rule 191 —

What if a tree suddenly grows rapidly and starts bearing fruit quickly?

First of all, that’s not really possible — and even if it does happen, it’s actually a misfortune.

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That fruit won’t be nourishing — it’ll be poison, and eating it could lead to your death.
Success is best when it’s sustainable and gradual. If it comes too quickly in haste, it often
turns self-destructive.

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My Rule 192 —

To make twenty thousand crore rupees in ten years. This is mathematical — with time, a lot
will improve in it. It’s possible that multiple accounts will need to be created and the lot size
will have to be kept smaller. A single trading operation might require a team and a
professional office setup.

• Starting Year: 2026

• Weekly Pips: 500
• Monthly Pips: 2,000
• Yearly Pips: 24,000
• Starting Lot Size: 4 lots
• 1 Lot = $10 per pip (standard)
• Each year, lot size doubles
• Total 5 accounts of $ 200k

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Year-wise Growth Projection (2026–2035):

Year Lot Size Pips per Year Total Income (USD)

2026 4 lots 24,000 $960,000
2027 8 lots 24,000 $1,920,000
2028 16 lots 24,000 $3,840,000
2029 32 lots 24,000 $7,680,000
2030 64 lots 24,000 $15,360,000
2031 128 lots 24,000 $30,720,000
2032 256 lots 24,000 $61,440,000
2033 512 lots 24,000 $122,880,000
2034 1024 lots 24,000 $245,760,000
2035 2048 lots 24,000 $491,520,000

From one account —

$491.52 million = ₹4080.14 crores (approx.)

From five accounts —

$2,457.6 million = ₹20,400.7 crores (approx.)

My Rule 193 —

Many times, things turn out to be completely different. Sometimes, you’ll be able to
capture a significant movement, and other times, you’ll have to think carefully about
whether to enter during small, minor moves—because price behaves differently on
different days.
Yes, I just want to say that taking immature entries is not right, and neither is the
mindset of trying to earn money every single day. Let the trade mature, let it ripen—
only then entering is the right approach.

My Rule 194 —

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BIAS AND BEHAVIOR

i. Alright, you’ve learned how to trade using BIAS — not just by applying its tools, but by
understanding its logic. But does that mean everything is perfect now? No. That alone isn’t
enough. There are still other crucial aspects you must pay attention to.

ii. You need to understand the overall mood and behavior of the market — how it moves,
which swing the monthly candle is following, whether it’s morning or evening, whether the
day’s move has already played out or is still forming. You must learn to sense all this — even
before the move happens — as if you’ve fallen deeply in love with the market.

iii. Who moves the market? The big players. But do they keep injecting money into the
market all the time so price moves nonstop? No — that’s not how it works. For their large
orders to be executed, they need liquidity. And they patiently wait for enough liquidity to
build up. So, when planning your entry, ask yourself: Is this the phase where liquidity is
being built? Or is this the moment when the actual move is about to begin?

iv. Has the day or week reached its closing phase, or is it still the beginning? Because the
market behaves differently at different times. If the market is in the middle of the week or
month, its behavior will reflect that phase. You need to recognize that and adapt accordingly.

ICT Rule 195 —

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PRIORITY (from lowest to highest):

TOOLS < BIAS < BEHAVIOUR

TOOLS:

These are the technical elements used to analyze the market, including:

MSS, CISD, Displacement, Support, Resistance, FVG, OB, OTE, Equilibrium, Discount,
Premium, News, Liquidity, BOS, IDM, Volume Imbalance, and others.

BIAS:

Your directional expectation — Where the price has to go from and to.

BEHAVIOUR:

Understanding the context and character of the market, such as:

• Time of day: Morning, Afternoon, Night

• Time of week/month: Beginning, Mid, or End of Week/Month
• Market phase: Liquidation phase, Willingness to Boom (explosive move potential)

This means:

• Tools support your trade idea

• Bias gives direction to the trade
• But Behaviour determines when and whether to trade at all.

ICT Rule 196 —

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