■ Smart Money Concepts (ICT Style) – Rulebook
A complete guide to Smart Money Concepts (SMC) with ICT-style schematics and strategies for
Forex, Indices, Gold (XAUUSD), and Crypto.
Introduction
Difference between retail vs smart money. Why liquidity is the true market driver.
Market Structure
HH, HL, LH, LL explained. BOS vs CHoCH schematics.
Liquidity
Buy-side & Sell-side liquidity. Equal highs/lows, trendline liquidity. Asian range liquidity sweeps.
Order Blocks (OB)
Supply/Demand zones. Valid vs invalid OBs. Refinement using lower TF.
Fair Value Gaps (FVG)
Definition, how they form, and how to use them for entries.
Optimal Trade Entry (OTE)
ICT Fibonacci retracement (62–79%). Entry confluence with OB/FVG.
Liquidity Inducement
Why price fakes direction first. Stop hunts and inducements explained.
Sessions & Timing
London Killzone, NY Killzone. Best times for smart money setups.
Practical Trading Models
Continuation Model: liquidity sweep + OB entry. Reversal Model: CHoCH + inducement + FVG.
Illustrated schematics.
Risk Management & Psychology
Position sizing ICT way. Journaling trades with liquidity narrative.
■ Trader’s Checklist
■ HTF Bias: Bullish / Bearish?
■ Liquidity: Has it swept highs/lows?
■ Structure: BOS / CHoCH confirmed?
■ Entry Zone: OB / FVG / OTE aligned?
■ Timing: Within Killzone session?
■ Target: Opposite liquidity identified?
■ Risk: SL beyond liquidity? 1–2% risk max.