TCT (The Chart Trader) Pattern
Rule-based market structure: 6-candle pattern (bullish then bearish then bullish legs), plus accumulation/distribution phases and liquidity sweeps (deviation) for high-probability setups.
Quick Answer
Rule-based market structure: 6-candle pattern (bullish then bearish then bullish legs), plus accumulation/distribution phases and liquidity sweeps (deviation) for high-probability setups.
What Is the TCT (The Chart Trader) Pattern?
TCT (The Chart Trader) is a rule-based methodology that combines 6-candle market structure with accumulation/distribution and deviation (liquidity sweeps). Market structure is detected as a minimum of two bullish candles, then two bearish (lower closes), then two bullish (higher closes), defining a swing high and swing low. Price then either breaks above the swing high (BULLISH), below the swing low (BEARISH), or remains in transition. TCT adds a range (e.g. lookback window), then looks for deviation: candles that sweep slightly above the range high or below the range low (within a volatility-tolerant band, e.g. 60% of range size). Model 1 and Model 2 describe different phase sequences (accumulation, distribution, re-accumulation, re-distribution). The result is a deterministic confidence score and clear structure direction for trading.
How the TCT (The Chart Trader) Forms
- 16-candle structure: at least 2 bullish candles, then 2 bearish (lower closes), then 2 bullish (higher closes)
- 2Swing high = max of the bearish leg; swing low = min of the final bullish leg
- 3Range is established over a lookback window before the deviation zone
- 4Deviation: price sweeps above range high (high sweep) or below range low (low sweep) within a tolerance
How to Confirm the Pattern
Best Timeframes for TCT (The Chart Trader)
How to Trade the TCT (The Chart Trader)
- →Identify clear market structure (bullish, bearish, range, transition)
- →Trade break of structure with deviation confluence
- →Use TCT phases (accumulation/distribution) for context
- →Combine with other SMC/ICT concepts (order blocks, FVG)
Common Mistakes to Avoid
Detect TCT (The Chart Trader) Automatically
VaultCharts automatically detects TCT (The Chart Trader) patterns on your charts. No manual analysis needed - the pattern is highlighted with entry zones and targets.