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2022 Mentorship Model

The "Meta-Model" from ICT's 2022 Mentorship series. This strategy identifies high-probability reversals using a specific sequence: Liquidity Sweep → Market Structure Shift → Fair Value Gap Entry.

The Framework​

The 2022 Model follows a precise sequence:

1. Liquidity Sweep
   ↓
2. Market Structure Shift (MSS)
   ↓
3. Fair Value Gap Forms
   ↓
4. Entry on FVG Retest
   ↓
5. Target: Opposing Liquidity

Pattern Recognition​

Step 1: Identify Liquidity Pools​

Before the move begins:

  • Bullish Setup: Identify sell-side liquidity (lows with clustered stops)
  • Bearish Setup: Identify buy-side liquidity (highs with clustered stops)

Step 2: Wait for Sweep​

The "sweep" is when price takes out liquidity:

  • Price breaks below key lows (bullish) or above key highs (bearish)
  • Triggers stop losses
  • Often happens rapidly with a spike candle

Step 3: Confirm Market Structure Shift​

After the sweep, price must shift structure:

Bullish MSS:

  • Price was making lower lows
  • After sweep, breaks above a recent lower high
  • Signals potential bullish reversal

Bearish MSS:

  • Price was making higher highs
  • After sweep, breaks below a recent higher low
  • Signals potential bearish reversal

Step 4: Identify the FVG​

After MSS, look for Fair Value Gap:

  • Bullish FVG: Gap between candle 1 high and candle 3 low
  • Bearish FVG: Gap between candle 1 low and candle 3 high

Step 5: Entry on Retest​

Wait for price to return to the FVG:

  • Entry at 50% of FVG (equilibrium) or FVG edge
  • Stop below the sweep low (bullish) or above sweep high (bearish)
  • Target the opposite liquidity pool

Settings​

Pattern Detection​

SettingDefaultDescription
Swing Lookback20Bars for swing point detection
MSS Confirmation1 barBars to confirm structure shift
FVG Minimum Size2 ticksMinimum gap size to qualify
Sweep Tolerance0.5 ticksHow far beyond liquidity qualifies

Entry Settings​

SettingDefaultDescription
Entry Level50% (EQ)Entry at Equilibrium or Edge
Entry TypeLimitLimit or Market on touch
Max Wait Bars10Cancel if FVG not retested

Trade Management​

SettingDefaultDescription
Stop PlacementBelow SweepStop beyond the sweep point
Stop Buffer2 ticksAdditional buffer past sweep
TargetOpposing LiquidityTarget the opposite pool
Partial TP50% at 1:1Take partial at 1:1 RR
Trail After1:1Begin trailing after 1:1

Filters​

SettingDefaultDescription
Kill Zone OnlytrueOnly trade during kill zones
Direction FilterBothLong only, Short only, or Both
HTF AlignmentOptionalRequire higher timeframe trend

Visual Display​

The strategy displays:

  • Liquidity Pools: Marked with $ icons
  • Sweep Point: Circled with annotation
  • MSS Level: Horizontal line at break point
  • FVG Zone: Shaded rectangle
  • Entry/Stop/Target: Standard trade markers

Trading Rules​

Valid Bullish Setup​

  1. Clear sell-side liquidity below
  2. Price sweeps below and quickly reverses
  3. Breaks above recent lower high (MSS)
  4. Bullish FVG forms after MSS
  5. Enter on FVG retest
  6. Stop below sweep, target buy-side liquidity

Valid Bearish Setup​

  1. Clear buy-side liquidity above
  2. Price sweeps above and quickly reverses
  3. Breaks below recent higher low (MSS)
  4. Bearish FVG forms after MSS
  5. Enter on FVG retest
  6. Stop above sweep, target sell-side liquidity

Invalidation​

Setup is invalid if:

  • Price returns to sweep level before MSS
  • No FVG forms within reasonable bars
  • FVG is too small (< minimum size)
  • Structure continues in sweep direction

Example Trade​

Bullish Example on ES:

  1. Liquidity: Clear lows at 4480 from overnight
  2. Sweep: Price drops to 4478, wicks below lows
  3. MSS: Price rallies, breaks above 4485 (recent LH)
  4. FVG: Bullish FVG forms between 4483-4486
  5. Entry: Limit order at 4484.50 (FVG equilibrium)
  6. Stop: 4477 (below sweep low)
  7. Target: 4505 (buy-side liquidity above)

Tips for Success​

Be Patient​

  • Don't force setups
  • Wait for ALL components
  • Quality over quantity

Manage Risk​

  • Risk 1-2% per trade maximum
  • Accept that reversals have lower win rate
  • The R:R makes up for win rate

Use Kill Zones​

Best probability during:

  • London Open (02:00-05:00 EST)
  • NY AM Session (09:30-11:00 EST)
  • NY PM Session (13:30-16:00 EST)

Verify on Higher Timeframe​

Align with higher timeframe direction when possible for higher probability.

See Also​