Mean Threshold

Also: MT · Midpoint · 50% of Order Block

Definition

The mean threshold is the midpoint of an [[Order Block]] — the 50% level between the candle's open and close (or high and low, depending on application). It is the primary entry reference inside an OB and a common trail-stop anchor. "Mean threshold" is ICT's specific term for the OB midpoint; the analogous concept inside an FVG is [[Consequent Encroachment]].

Key characteristics

• Midpoint (50%) of the order block candle
• Primary entry zone inside an OB
• Used as a trail-stop reference — "don't let stops get beyond mean threshold"
• When price closes through MT in the wrong direction, the OB is likely invalidated
• Most surgical entry on high-conviction OBs
• Works on any timeframe the OB is drawn on

How it forms

The mean threshold reflects the algorithm's tendency to respect the midpoint of institutional positioning zones. Price often trades to MT and reverses, leaving the extreme untested. Waiting for MT filters weaker pullbacks that touch only the edge of the OB.

How to use

Two entry styles: (1) Aggressive — enter at the OB edge, stop beyond far edge. (2) Conservative — wait for price to trade to MT, enter there, stop beyond the far edge. MT entries give better R:R but sometimes miss the move. Also use MT as a trail-stop reference: once price moves away, don't let the stop drift past MT.

Common mistakes

• Using MT on low-quality OBs — refinement doesn't save a bad setup
• Waiting for MT when displacement is already clear and you need to be in the trade
• Confusing MT (OB midpoint) with CE (FVG midpoint) — they apply to different PD arrays

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