ICT Premium & Discount [KTY]

ICT Premium & Discount Indicator


[ Overview ]

This indicator automatically displays Premium and Discount Zones based on ICT (Inner Circle Trader) methodology.

Premium & Discount zones divide the current price range into upper and lower areas based on swing highs and lows. This helps traders understand where price sits within the broader range.


[ Key Features ]

Three-Zone Structure
- Premium Zone (Red): Upper portion of the range
- Equilibrium (Gray Dashed): Middle 50% line, fair value reference point
- Discount Zone (Green): Lower portion of the range

Multi-Timeframe Support
- Display zones from two different timeframes simultaneously (LTF & HTF)
- HTF zones carry more significance than LTF zones

Dynamic Range Calculation
- Automatically identifies swing high and low for the selected timeframe
- Zones update as new highs/lows form


[ How to Use ]

1. Identify the current zone - Is price in Premium, Equilibrium, or Discount?
2. Combine with Market Structure - Use CHoCH/BOS to confirm directional bias
3. Look for confluence - OB, FVG, or Liquidity zones within Premium/Discount add significance
4. Use Equilibrium as reference - Price often reacts around the 50% level

Pro Tips:
- HTF zones (4H, 1D) are more significant than LTF zones
- Most effective when combined with other ICT concepts
- Ranging markets may see price oscillate between zones without clear direction


[ Settings ]

Show Premium & Discount Zones: Toggle zone display on/off
LTF: Enable and select lower timeframe for zone calculation
HTF: Enable and select higher timeframe for zone calculation


[ Alerts ]

Price Entered Premium Zone
Price Entered Discount Zone


[ Notes ]

This indicator is designed for educational purposes.
Always combine with proper risk management.


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