Quarterly Theory

The Quarterly Theory indicator is a refined analytical tool that applies the ICT (Inner Circle Trader) framework and fractal time principles. It divides market time into structured quarterly cycles, anchored by the True Open of each period, to provide precise signals for trade entry and exit. This approach is consistently effective across all timeframes—from yearly and monthly charts down to 90-minute sessions.

The core model defines four distinct market phases within each cycle:

Q1 – Accumulation: A consolidation phase where the market builds a base for the next move.

Q2 – Manipulation (Judas Swing): Characterized by deceptive, rapid price action designed to trap traders before a true trend emerges.

Q3 – Distribution: A period of high volatility as positions are unwound and transferred.

Q4 – Continuation/Reversal: The cycle concludes with the established trend either extending or reversing.

By leveraging smart algorithms, the indicator analyzes these phases to detect critical market structures such as liquidity zones, stop-runs, and high-probability price patterns. This synthesis of Quarterly Theory, fractal timing, and liquidity analysis delivers a data-driven edge, empowering traders to decode complex market behavior and execute informed, strategic trades.