ICT/SMC Sessions + SMT Divergence

The ICT/SMC Sessions + SMT Divergence indicator is a comprehensive structural mapping tool designed for institutional order flow analysis using Time and Price Geometry. It provides a visual overlay of institutional trading sessions, Opening Prices, Fair Value Gaps (FVGs), real-time SMT Divergences, and an advanced Regular Trading Hours (RTH) Gap engine.

Usage

The Usage section focuses on contextual awareness rather than simple buy/sell signals. Traders can utilize the script for:

• RTH Gap Trading: Use the dynamic gap box as a magnetic zone. The internal 50% line (Consequent Encroachment) serves as a high-probability target or bounce level.
• SMT Divergence Confluence: When price reaches a Higher Timeframe (HTF) level like a Previous Day High, look for real-time SMT labels. If one asset sweeps a high while a correlated asset fails to do so, it provides reversal confluence.
• Opening Price Bias: Use the Midnight and 08:30 opens to determine daily bias. Prices staying above the Midnight Open suggest a bullish profile, where moves below the open may represent "Judas Swings" for accumulation.

Details

The script is engineered for accuracy and performance through several technical implementations:

• Asset-Aware Logic: Automatically detects the symbol type. For Futures, it tracks the close until 16:15 EST; for Equities, it snaps to 16:00 EST to avoid after-hours volatility interference.
• State-Management: Uses a custom system to isolate true Regular Trading Hours, explicitly bypassing Sunday overnight sessions on Futures charts.
• Real-Time Divergence Engine: Unlike traditional lagging indicators, this script compares live ticks against 5-bar pivot lookbacks (pivothigh/pivotlow) to signal divergences instantly.
• DST Proofing: All session times are mathematically anchored to "America/New_York" time, preventing time drift during Daylight Saving Time transitions.

Settings

SMT Divergence Engine

• Show VIX SMT Divergence: Toggles the built-in, auto-inversed VIX tracker.
• Enable Custom SMT 1-4: Allows users to input up to four additional tickers (e.g., DXY, NQ) for correlation analysis.
• Inverse?: Flips the correlation logic for the specific custom ticker.

Higher Timeframe (HTF) Levels

• Show Previous Day Levels (PDH/PDL): Plots horizontal lines for the prior day's high and low.
• Show Previous Week Levels (PWH/PWL): Plots horizontal lines for the prior week's high and low.

ICT Sessions & Macros

• ICT Macro Windows: Highlights the 14 standard ICT Macro windows with non-intrusive X-axis labels.
• Session Boxes: Customizable background boxes for Equity Pre-Market (EPM), London, Asia, and the Central Bank Dealers Range (CBDR).
• 1st AM FVG: Highlights the first Fair Value Gap formed during the 09:31 AM – 10:30 AM EST window.

FAQ

How do I use the RTH Gap levels? The script calculates quartiles (25%, 50%, 75%) within the gap. The 50% level, known as Consequent Encroachment, is frequently used as a key support/resistance level within the gap.

Will the session times change with Daylight Saving Time? No, the script is hard-coded to the New York timezone to ensure all ICT-specific times like the 00:00 Midnight Open and 08:30 Open remain consistent regardless of your local time settings.

How can I access this script? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.