Custom HTF candle overlay, ICT True Day

The Custom HTF candle overlay, ICT True Day tool allows users to project higher time frame (HTF) candlestick data onto lower time frame charts using customizable session parameters. This indicator is designed to help traders visualize specific intraday periods—such as the ICT "True Day"—as single HTF candles to identify key price levels and session-based trends.

Usage

The indicator can be used to overlay a single HTF candle representing a custom session or two distinct sessions within a day. This is particularly useful for visualizing "chunks" of price action, such as the London or New York sessions, as cohesive candle structures while trading on the 1-minute or 5-minute timeframes.

Key applications include:

• True Day Visualization: Define a specific range (e.g., 00:00-15:00) to view the daily candle structure based on ICT concepts.
• Session Confluence: Use the "Two Sessions" toggle to highlight specific trading windows (e.g., AM and PM sessions) as individual candles.
• Midpoint Analysis: Enable midpoint lines for the candle body and wicks to identify "Consequent Encroachment" levels, which often act as support or resistance.
• Weekly Context: Overlay a weekly candle (Monday-Friday) to maintain high-level bias on intraday charts.

Details

The script calculates the open, high, low, and close values based on the user-defined session input. Unlike standard MTF indicators that rely on fixed calendar days, this tool uses session-based logic to determine the start and end of a candle. It utilizes TradingView's box and line drawings to render the candles dynamically, ensuring that the overlay remains accurate across various lower time frames.

The "Wick CE" (Consequent Encroachment) feature includes a built-in filter to ensure that midpoint lines are only drawn on significant wicks (at least 1/6th of the total candle range), reducing chart clutter from negligible price movements.

Settings

Custom Range

• Custom HTF Range: Defines the start and end time for the custom HTF candle.
• Show HTF Candle Overlay: Toggles the visibility of the drawn boxes and wicks.
• Show Opening Price: Displays a horizontal line at the session's opening price.

Two Sessions [Override]

• Show Two Sessions in Day: If enabled, projects two separate candles based on Session #1 and Session #2 inputs.
• Session #1 / Session #2: Defines the time ranges for the dual-session mode.

Weekly Candle Overlay [Override]

• Weekly Candle Overlay: When enabled, ignores other session settings to draw a single candle representing the Monday-Friday period.

Options

• Days Lookback: Controls how many days of historical data the indicator will process for backtesting or performance optimization.
• Bull/Bear Styling: Customization for body colors, borders, and wick widths.

Midlines

• Wick Midpoint Lines: Toggles lines at the 50% level of the upper and lower wicks (Consequent Encroachment).
• Body Midpoint Lines: Toggles a line at the 50% level of the candle body.
• Extend Line (Bars): Determines how many bars into the future the midpoint lines should project.

FAQ

How do I use this for the ICT True Day?

Set the "custom HTF range" to '0000-1500' (New York time) to align with the standard ICT True Day definition.

Why are the midpoint lines not appearing on every candle?

The script includes a significance filter; if a wick is very small relative to the total candle size, the midpoint line is hidden to keep the chart clean.

How do I access Custom HTF candle overlay, ICT True Day?

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