PD arrays (the PD array matrix)

What it is

PD (premium and discount) arrays are ICT's name for all the zones price reacts to: order blocks, fair value gaps, breakers and the rest. The matrix lists them in order, from the extreme of a dealing range back towards equilibrium (50%).

The commonly quoted order is: old high or low, rejection block, order block, fair value gap, liquidity void, breaker, mitigation block, then equilibrium. Bearish versions above equilibrium are premium arrays, for selling; bullish versions below are discount arrays, for buying. Newer terms such as the inversion FVG, BPR and volume imbalance aren't in the original list.

The ordering varies a little across eras of ICT's teaching. 'Tier lists' that rank one array as the best are other traders' opinions, not ICT's.

How to spot it

• Mark the dealing range: the swing high and swing low the current move is working within.
• Split it at 50%. Above is premium, below is discount.
• List the arrays in the half you want to trade from, nearest the extreme first.

How to use it

• Use it as a checklist: which arrays sit in discount (for longs) or premium (for shorts), and where several line up.
• Use the arrays nearer the extreme of the range for better prices, and those near equilibrium as less attractive.

Common mistakes

• Treating the order as a law of the market; it's a teaching device.
• Using bullish arrays that sit in premium, or bearish ones in discount.

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