PD Array

Also: Premium/Discount Array · PDA

Definition

A PD array (Premium/Discount Array) is any specific price level or zone where the algorithm has historically or structurally committed to deliver price — an old high, old low, order block, FVG, breaker, rejection block, mitigation block, consequent encroachment, etc. PD arrays are the building blocks of ICT's entry framework.

Key characteristics

• Category, not a single item — includes OBs, FVGs, breakers, BPRs, rejection blocks, old highs/lows, CE levels
• Each PD array sits somewhere on the premium/discount spectrum of a [[Dealing Range]]
• Higher-timeframe PD arrays outrank lower-timeframe ones
• The algorithm prices toward the next opposing PD array as a "draw on liquidity"
• A valid setup requires price to be reacting at a PD array in the correct premium/discount half
• The specific type of PD array dictates entry precision

How it forms

Any price action that leaves a structural or inefficient footprint creates a potential PD array. The algorithm references these footprints when delivering price in the future — filling gaps, respecting order blocks, reacting at breakers. The collection of all such levels forms a map of where price is likely to react.

How to use

Build a stack: HTF PD arrays set the draw-on-liquidity target; LTF PD arrays provide the entry. Bias + PD array in correct P/D zone + time-of-day kill zone = trade trigger. If no PD array is at the current price, stand aside — there is no setup. This is the architecture layer of the framework.

Common mistakes

• Using a PD array without a dealing range context — the array only matters relative to premium/discount
• Counting every random swing as a PD array — unqualified levels are noise
• Ignoring timeframe hierarchy — LTF PD arrays cannot override HTF structure

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