What is Inter Bank Price Delivery Algorithm and Data Ranges

The Inter Bank Price Delivery Algorithm ( IPDA) is a game-changer in the world of trading, as it provides a unique insight into the delivery of price on the chart. Understanding the IPDA data ranges and how to decode the market using ICT IPDA is essential for any trader looking to make informed and strategic decisions.

By mastering the IPDA, traders can gain a competitive edge and make smarter, more profitable trades. It’s time to unlock the power of IPDA and take your trading to the next level.

What is IPDA in Forex Trading?

The full form of IPDA is inter bank price delivery algorithm. This algorithm is basically used by smart money and large funds to delivered price on the chart. In forex trading traders can make informed decision by under standing IPDA working.

How IPDA Works?

IPDA controls how prices are delivered on the chart with the primary goal of maximizing profits for smart money. By analyzing the price delivery within the previous 20, 40, and 60 days (IPDA data ranges), you can see how the algorithm targets liquidity and rebalances price imbalances (FVG). Lets deeper looks into the working of IPDA.

Stop Loss Triggers: Smart money uses the IPDA to identify where retail traders have placed their stop-loss orders. These are typically at significant highs and lows. By pushing the price to these levels, they can trigger these stops, creating a surge in market activity.

How Use IPDA in Forex Trading

Forex traders can used IPDA data ranges 20,40,60 days to find the next drawn on liquidity, price imbalances and other institutional reference point such as order blocks, breaker blocks ,mitigation blocks. This helps trader to make informed decision and anticipate what price is doing next.

Trading Strategy

1. Identifying Key Price Points: At the beginning of each month, find out the highest and lowest price points from the past 20, 40, and 60 days. These points are crucial for spotting where significant price changes might occur.

Developing a Trading Bias

2. Evaluating the Market’s Position: Check if the current price is higher (premium) or lower (discount) compared to usual:
   • High Prices (Premium): If prices are high, it might be a good time to sell as prices might fall soon.
   • Low Prices (Discount): If prices are low, it might be a good time to buy expecting prices will rise.

Identifying Key Trading Areas

3. Spotting Equal Highs and Lows: Look for price points that have been hit multiple times. These are often where a lot of buy or sell orders are placed, and big players in the market might target these to trigger price movements.
4. Finding Price Imbalances: Find the price imbalance on the chart for possible entry into the trade.

Example of Short Trade Using IPDA Algorithm data ranges

The above image show the price of EURUSD in previous 20,40 and 60 days. The price is in premium zone and next possible drawn on liquidity is at 1.07572. So its the ideal condition to take short trades. For entering into the short position move toward the lower time frame hourly and find imbalance as shown on the image below.

The above image is show the possible entry into the short position on the filling of imbalance.

Adjusting Strategy According to Trading Style

For Long-Term Trading: Use daily charts to look at price movements over the last 60 days to help predict what might happen next. Pay attention to major economic news that could affect the market.

For Medium-Term Trading: If you’re a swing trader, focus on 4-hour charts and review the past 15 days to understand recent market trends.

For Day Trading: Use 15-minute charts and focus on what’s happened in the last three days to spot immediate trading opportunities.