The Institutional Order Flow Entry Drill is a practice method taught by Michael Huddleston (ICT) to help traders develop precision in identifying and trading in the direction of institutional order flow.
It’s not just a strategy — it’s a training exercise designed to build discipline, confidence, and accuracy in your trades.
Think of it as “target practice” for traders before stepping into high-stakes live trading.
1. The Core Idea behind ICT Institutional Order Flow Entry Drill
Institutions (big banks, hedge funds, market makers) don’t trade randomly.
They move price in a clear direction based on liquidity grabs, market structure, and smart money concepts.
The goal of the ICT Order Flow Entry Drill is to:
- Identify the dominant direction of price (order flow).
- Find optimal entry points in that direction.
- Practice precise execution with a small, consistent target.
2. The Drill Rules for ICT Institutional Order Flow Entry
The original ICT drill usually focuses on the 1-minute and 5-minute charts for intraday trading, but the concept applies to any timeframe.
Here’s the step-by-step approach:
Step 1 – Determine the Order Flow
- Check the higher timeframe (15m, 1H, or even daily) to spot the trend direction.
- Look for Breaks of Structure (BOS) or Market Structure Shifts (MSS) to confirm direction.
- Example: If 15m and 1H are bullish, your drill is to look for buy setups only.
Step 2 – Wait for Price to Reach an Optimal Trade Entry Zone
- Use Fair Value Gaps (FVGs) or Order Blocks (OBs) as your entry levels.
- Wait for price to retrace into these areas.
- This is where institutions are likely entering or adding to positions.
Step 3 – Execute with a Small Fixed Target
- The classic ICT drill is to target 5 to 10 pips per trade.
- Stop loss is usually just beyond the entry zone (tight risk management).
- This keeps you focused on execution accuracy rather than big profits.
Step 4 – Repeat and Build Consistency
- The purpose is repetition, not chasing large moves.
- You might take multiple small trades in a session, all in the same direction.
- The repetition trains your eyes and patience to recognize high-probability setups.
3. Example – Bullish Order Flow Drill in ICT
- On the 15m chart, you see a BOS to the upside and an FVG left behind.
- You drop to the 1m chart and wait for price to retrace into that FVG.
- Price taps into the gap → you enter long with a stop loss 3 pips below.
- You aim for a +8 pips target.
- Trade hits target → you record the result and wait for the next setup in the same direction.
4. Why ICT Institutional Order Flow Entry Drill Works
- Builds Discipline – You trade in the direction of the higher timeframe order flow only.
- Improves Precision – You learn to time entries within institutional footprints.
- Removes Greed – Small, fixed targets prevent overtrading and emotional decision-making.
- Sharpens Pattern Recognition – The more you practice, the faster you’ll spot high-quality setups.
5. Final Tip
If you’re struggling with timing entries or constantly getting stopped out, doing this drill daily for 30 days can transform your trading accuracy.
It’s not about making huge profits — it’s about training your brain to see the market like institutions do.
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