AMD FVG Trade Setup

The AMD FVG Trade Setup indicator is a comprehensive tool designed to identify and visualize the classic Accumulation, Manipulation, and Distribution (AMD) market cycle integrated with Fair Value Gap (FVG) confirmation to pinpoint high-probability institutional entry points.

USAGE

The indicator automates the identification of the "Power of Three" concept. It looks for a period of price consolidation (Accumulation), followed by a deceptive move against the primary trend to trap retail liquidity (Manipulation), and finally, a displacement move that creates an FVG, signaling the start of the Distribution phase.

Users can utilize this script to trade reversals or trend continuations by identifying where "smart money" has likely trapped liquidity before a significant expansion.

Bullish Trade Setup

• Accumulation: Price trades within a narrow range during a defined session.
• Manipulation: Price breaks below the accumulation low to grab sell-side liquidity.
• Distribution: Price aggressively reverses back above the accumulation low, creating a bullish Fair Value Gap.
• The indicator highlights the boxes and draws a projected Risk/Reward zone for the long entry.

Bearish Trade Setup

• Accumulation: Price trades within a narrow range during a defined session.
• Manipulation: Price breaks above the accumulation high to grab buy-side liquidity.
• Distribution: Price aggressively reverses back below the accumulation high, creating a bearish Fair Value Gap.
• The indicator highlights the boxes and draws a projected Risk/Reward zone for the short entry.

DETAILS

The script uses a percentage-based range calculation to define accumulation, ensuring it only triggers when the market is truly sideways. The manipulation phase is validated when price exits the range and subsequently returns, leaving a structural gap (FVG) that exceeds a user-defined ATR threshold. This ensures that only "displacements" with significant momentum are flagged as valid signals.

SETTINGS

AMD Logic

• Accumulation Length: The number of bars required to define the consolidation phase.- Accumulation Range Max %: The maximum allowed percentage width of the accumulation zone relative to price.- Max Search Window: How many bars the script looks for a manipulation move after accumulation ends.- Min FVG Gap (ATR Multiplier): The minimum size required for the Fair Value Gap to trigger a signal, filtered by ATR to account for volatility.

Trade Settings

• ATR Length: The lookback period for Average True Range used in risk calculations.- ATR SL Multiplier: Sets the stop loss distance based on current volatility.- Reward-to-Risk Ratio: Determines the distance of the Take Profit box relative to the Stop Loss.

Sessions

• Sydney/Tokyo/London/New York: Toggle which geographic trading sessions the logic is active for.- Highlight Active Session Time: Colors the background to show when the indicator is scanning for setups.

Colors

• Accumulation/Manipulation: Adjusts the transparency and color of the pattern boxes.- Take Profit/Stop Loss Box: Customizes the visual risk management zones.- Label Offset: Adjusts how far the "AMD" labels appear from the price action.