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HTF PO3 with Trend and Signal Bars

The HTF PO3 feature in the indicator leverages the Power of Three (PO3) cycle, combined with advanced trend and signal bar coloring. This helps traders identify the current market direction and high-probability trade setups with ease.

Forming a Bias with HTF PO3​

Forming a Bias with HTF PO3

The HTF PO3 feature in the indicator leverages the Power of Three (PO3) cycle, combined with advanced trend and signal bar coloring. It is used to form a directional bias, providing traders with an edge by clearly illustrating market trends, institutional levels, and potential trade setups.

Taking High-Probability Trades Based on HTF PO3 Bias​

High-Probability Trade Example

By combining the HTF PO3 bias with trend and signal bar confirmation, traders can execute high-probability trades aligned with the current market conditions.

What is HTF PO3?​

The High Time Frame (HTF) Candles with Power of Three (PO3) framework describes the price movement patterns observed on higher time frames. It identifies the Smart Money Cycle, consisting of three phases:

  1. Accumulation

    • The market ranges or consolidates, typically during off-peak hours.
    • Liquidity builds as traders position themselves for the next move.

  2. Manipulation

    • The market may create false breakouts or move against the anticipated trend.
    • This phase triggers stop-losses and generates liquidity for the next phase.

  3. Distribution

    • The primary directional move occurs during peak trading hours.
    • This phase exhibits higher volume and volatility, marking the session’s trend direction.

Using HTF PO3 with Trend and Signal Bars​

The indicator helps traders form a bias by combining the PO3 cycle with:

  • Trend Direction
  • Signal Bar Coloring

By recognizing the PO3 cycle, traders can anticipate price direction and reversals, allowing them to align their trades with the Distribution Phase for optimal entries.

Key Indicator Features​

1. Real-Time HTF Candle Tracking​

  • Monitor the development of higher time frame candles in real time.

2. Multiple Time Frames in One View​

  • Stack up to 3 different instances of the indicator to view multiple HTFs simultaneously.

3. Multi-Candle Plotting​

  • Display up to 20 HTF candles on the current chart resolution.

4. Track HTF Trend and Signals​

  • Analyze high time frame trends and easily spot HTF signals.

5. HTF Countdown Timer​

  • Track the remaining time until the current HTF candle closes.

6. HTF Range Analysis​

  • Analyze HTF ranges with average range data for improved risk management.

7. Adjustable Candles​

  • Resize and offset HTF candles to match your chart preferences.

8. PO3 Strategy Backtesting​

  • Seamlessly backtest and refine PO3 strategies using TradingView’s Replay Mode.

9. High-Probability PO3 Trading​

  • Execute PO3 strategies profitably without needing to switch between multiple layouts.

Possible Long Trading Scenarios​

Long Trading Scenario

  1. Identify HTF Trend

    • Use the trend bars to analyze the HTF direction. Look for an uptrend.

  2. Wait for a Pullback

    • Ideally, the pullback occurs after external liquidity is taken.

  3. Spot Displacement

    • Look for a displacement back into the range with a clear structure shift.

  4. Identify an Imbalance

    • Focus on an imbalance within the displacement. Target imbalances below 50% of the prior move.

  5. Entry, Stop, and Target

    • Entry: Within the imbalance.
    • Stop: Below the candle with the imbalance or the previous swing low.
    • Target: Aim for a risk-to-reward ratio of 3R or the creation of a new swing high.

By integrating the HTF PO3 cycle with advanced trend and signal bar analysis, this indicator provides traders with powerful tools to enhance accuracy and profitability.