How it is calculated
Swings as in structure. The range runs from the lower to the higher of the last confirmed swing high and low; equilibrium is their sum divided by 2. zone is +1 when the close is above equilibrium (premium), -1 below it (discount) and 0 exactly on it.
Reference: ICT market structure, from public descriptions (#546)
How to read it
The range moves when a new swing is confirmed, length bars after its extreme. Price can trade outside it until the next swing confirms; zone still says which side of equilibrium the close is on. Nothing shows before the first swing high and low.
In a strategy
Buy only at a discount: take long setups while ctx.ind("premium_discount", length=3).zone is -1 and short setups while it is 1, with the target at .equilibrium or beyond.
Inputs
| Input | Type | Default | Range or choices |
|---|---|---|---|
Swing bars each sidelength | Whole number | 3 | min 1, max 50 |
What it draws
| Line | Drawn as |
|---|---|
| Equilibrium | Steps |
| Range high | Steps |
| Range low | Steps |
Used in
No strategy template reads it yet.