Optimal Trade Entry (OTE 62–79%)

ICT · Timeframe: H1 / H4 · Sessions: Any

Entry on the 62-79% Fibonacci retracement of an impulse, targeting the -27% extension.

How it works

After an impulse that breaks structure, price often retraces into the 'OTE zone', between the 62% and 79% Fibonacci levels (70.5% being the optimal level). It is a 'discount' zone in a bullish impulse (or 'premium' in a bearish one) where institutions add to positions. The classic target is the -27% (and -62%) extension of the impulse.

Step-by-step rules

1. Identify a clear impulse (swing low → swing high > 2 ATR).
2. Draw Fibonacci from the low to the high.
3. Limit order at 70.5%.
4. Stop: below 100% (the origin of the impulse).
5. Target: the -27% extension.

How Marketalyx tests it

Detector (H1): swing (fractal 5) with an impulse > 2.5 ATR; limit entry at 70.5%; stop below the origin; -27% target; valid for 30 candles.

See real cases on gold and forex →

Related strategies

Power of Three (PO3 / AMD) · Fair Value Gap (FVG) – retest · Order Block (OB) · PDH/PDL liquidity sweep (Turtle Soup) · ICT Silver Bullet · ICT 2022 model (Sweep + MSS + FVG) · Judas Swing · SMT Divergence

Educational content. No strategy guarantees profits and past performance does not guarantee future results.