ICT’s AMD / Power of Three, PO3, Model is a price delivery framework that describes how markets move in three distinct, repeatable phases: Accumulation, Manipulation, and Distribution. Originally a concept from ICT, Inner Circle Trader, it recognises that price rarely moves in a straight line. Instead, it consolidates, engineers a false move to trap participants on the wrong side, then delivers the true directional move. The strategy is traded on the 1-minute chart on NQ during the NY session, though the model can be applied across other timeframes and between sessions.

The key insight is in the manipulation phase: rather than trying to identify every accumulation zone, the focus is on spotting a sharp move out of and back into the accumulation range. This is the manipulation. Once identified, two entry methods are available: an Inverse Fair Value Gap, iFVG, retest formed during the manipulation leg, or a retest of the manipulation box boundary when no iFVG is present. Both entries target 2 standard deviations of the manipulation leg as the primary take profit, scaling to 4 standard deviations when the 2 STDV target does not offer at least 2R.

How the strategy works

The three phases

Measuring the distribution target

Apply the Fibonacci retracement tool to the manipulation leg. Set levels at 0, 2, and 4. The 2 STDV level is the primary target. If it does not offer at least 2R from the entry, use the 4 STDV level as the target instead.

Entry triggers

After the manipulation phase is identified and price closes back into the accumulation zone, watch for one of two entries on the distribution leg.

Trigger #1: iFVG Retest

• A Fair Value Gap forms during the manipulation leg.
• A subsequent candle closes through the FVG, inverting it.
• Enter on the retest of the iFVG.
• Stop loss at the manipulation high or low.
• Target 2 STDV, or 4 STDV if 2 STDV does not offer 2R+.

Trigger #2: Box Setup

• No valid iFVG is present from the manipulation leg.
• Price closes back into the accumulation zone.
• Enter on a retest of the manipulation box boundary, high for longs or low for shorts.
• Stop loss at the manipulation high or low.
• Target 2 STDV, or 4 STDV if 2 STDV does not offer 2R+.

Trade checklist

• Accumulation zone identified using candle bodies, with a clear consolidation range and defined highs and lows.
• Manipulation phase confirmed, with a sharp move out of and back into the accumulation zone, not a gradual drift.
• Entry trigger selected: iFVG retest from the manipulation leg, Trigger #1, or manipulation box boundary retest, Trigger #2, if no iFVG is present.
• Stop loss placed at the manipulation high or low.
• Take profit set at 2 STDV of the manipulation leg if it provides 2R+. If not, target 4 STDV instead.

If any parameters are missing, trade quality is reduced. Aim for A+ setups only.