STDV — Standard Deviation: Projecting Price Targets

Standard Deviation (STDV - Standard Deviation) in the ICT method is not a traditional statistical indicator on exchanges. Instead, it is a tool that measures the **target amplitude jumps** of the IPDA (Interbank Price Delivery Algorithm) algorithm. It allows traders to extremely accurately identify potential take profit points (TP) and reversal zones with the highest probability of winning based on symmetrical mathematics.

1. Principle of measuring STDV with Fibonacci tool

To determine STDV levels on the chart, traders use the **Fibonacci Retracement** tool that measures the top to bottom of the **liquidity sweep/manipulation rhythm (Judas Swing)**. Negative (or positive depending on the measurement direction) Fibonacci extension settings will act as standard deviation jumps:

• 0.0 to -1.5 STDV: Early distribution zone. Prices are easily reached in most trading sessions.
• -2.0 to -2.5 STDV: Standard Target & Reversal Zone. This is the main profit-taking zone for large organizations during regular trading days.
• -4.0 to -4.5 STDV: Extended Distribution Zone. Prices only approach this area on days when the market is trending extremely strongly (Trend Days) or there is shocking macro news (CPI, FOMC, Non-farm).

2. Decision Candlestick Rule: The Difference Between Reversal and Continuation of the Distribution

⭐ MICHAEL J. HUDDLESTON'S CORE RULES:

Price behavior when approaching the zone -2.0 to -2.5 STDV will determine the next trading scenario:

1. Reversal Scenario at -2.0 to -2.5 STDV:
   Price sweeps whiskers through this area but The candle body cannot close outside the -2.5 level (forcefully withdraw the leg to create a long candle wick). This confirms Smart Money's price rejection. The algorithm has completed its distribution and begun to reverse the trend. You can find reverse trading orders.
2. Extended Distribution Scenario to -4.0 to -4.5 STDV:
   If a large body candle appears closed decisively beyond (outside) the -2.5 STDV level, the reversal algorithm is completely disabled. The IPDA algorithm now confirms the huge trend momentum and will continue to push the distribution price to the next extended symmetrical target area of -4.0 to -4.5 STDV.

3. Why Is There a Continuous Distribution Phenomenon to -4.0 / -4.5 STDV?

The operating mechanism of the IPDA algorithm behind this rule is explained as follows:

• Completely absorbs resistance: The -2.0 to -2.5 STDV zone is where many reciprocal limit orders from other organizations gather to stop the price fall/rise. When the candle body closes past -2.5, it proves that the push of the large money flow has completely absorbed (clean sweep) these barriers without encountering any significant resistance.
• Serious supply and demand imbalance: Closing the candle beyond -2.5 confirms the state of extreme one-way imbalance. The IPDA algorithm is required to continue searching for a larger liquidity zone further away (where institutions place their next large stop loss or pending orders) located at the next mathematical symmetry mark of -4.0 to -4.5 STDV.
• Multi-timeframe consensus (HTF Confluence): Normally, when the price runs to -4.0 to -4.5 STDV on the small time frame, it will completely coincide with an extremely strong POI zone (OB or FVG) on the large time frame (H4/Daily).