dmn's ICT AMD-Goldbach█ OVERVIEW
This script is built on ICT time & price theory and the theory of algorithmic market maker models, and visualizes the intraday divided using powers of three into accumulation, manipulation and distribution cycles.
It also includes an automatically calculated and plotted Goldbach level (a.k.a. IPDA level or Huddleston level) overlay, to help visualize where in the current market maker profile price is in relation to the AMD cycles, and where it might trade to.
█ CONCEPTS
Accumulation, Manipulation, Distribution Cycles
A 24 hour day, with the default set to start at 20:00 CET (the start of the Forex CLS Settlement operational timeline) is split in three parts - 9, 6 and 9 hours for the three cycles (roughly corresponding with Asia, London Open and New York + London Close sessions).
Since charts are fractals, there's also intra-cycle time fibs available in the script, to highlight the smaller fractal equivalents in each cycle.
These cycles are used to visualize the three phases (AMD) for easier identification of the current daily profile by analyzing during what cycle highs and lows of the day are made.
An example of a bullish day could be price rallying before making a low during the accumulation cycle, being manipulated higher and retracing to form an optimal trade entry during the manipulation cycle, expanding and creating the high of the day before selling off during the distribution cycle, with a potential reversal before it ends.
Goldbach levels
The Goldbach levels are based on the size of a price range (or price swing, if you will) expressed as a factor of power of three (3^n).
To decide what number to tell the script to use for the calculation, we look at what 3^n number best fits an average swing on the preferred timeframe we're trading.
For example; PO3 27 (3^3)might be fit for scalping, while PO3 243 (3^5) may correspond to the daily or weekly range, depending on the asset.
The script then calculates a range high and a range low using a power of three formula based on the current price and divides it into levels using Goldbach numbers.
At these levels one might expect to see price form various "blocks" as defined in concept by Michael J. Huddleston.
The blocks that correspond to the Goldbach levels are labeled with abbreviations as follows:
Ext = External range
Low = Range low
High = Range high
FVG = Fair value gap
RB = Rejection block
OB = Order block
LV = Liquidity void
BR = Breaker
MB = Mitigation block
Using these levels and said blocks we identify where in the current running market maker profile price is offered, and trade the preferred timeframe in line with the AMD cycles accordingly.
█ FEATURES
Custom AMD time cycles session times.
Custom time fib for fractal cycles.
Color and style customization.
Show only current or also historical cycles.
Equilibrium mode for Goldbach levels (show only high/low and midpoint)
Autodetection of asset type, with manual override.
█ NOTE
The default timings for the AMD cycles are set up for Forex pairs. For other asset types, such as indices, other timings are nessecary for optimal results.
Goldbach levels requires the correct symbol type setting for the calculation to work properly. Disable the script's autodetection and enable/disable the Forex option according to the type of chart if it fails.
PO3
Accumulation Manipulation PO3 and MMXMMuch is said about the market maker or manipulation of price, but there aren't many indicators that try to show this, until now.
Using an easily customisable, but intelligent algorithm, this indicator tries to find and highlight when price is 'ranging', or 'accumulating'. It does this by looking at changes in price and quantifying the strength of the change, based on current and historical changes, and can therfore decide if price is staying in range or breaking out. By showing this on the chart several approaches can be taken.
Simply, you can trade within the range, and also trade breakouts of the range, knowing that price will react at these range 'levels'.
Alternatively, you can use the accumulation boxes to try and identify MMXM models, that is Market Maker Buy and Market Maker Sell Models, where price moves in phases of consolidation, smart money reversal and re-accumulation.
Finally, using the manipulation detection option, you can try to identify when a sudden change in price is actually manipulation by institutions, and plan to trade the distribution phase accordingly. This accumulation, manipulation, distribution is also known as Power of 3, PO3.
This indicator does not try to teach any of these ideas, only help to visualise them on the chart, and as such should not be considered financial advice.
