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🛡️ Risk Management#ict#risk-management#stop-loss#order-blocks
M

Market Hawk

Trader ·

ICT-Based Stop Loss Placement: Using Structure, Not Arbitrary Pips

One of the biggest advantages of the ICT framework is it gives you structural reasons for stop placement — not arbitrary pip amounts. **ICT stop placement principles:** **1. Beyond the order block.** If entering at a bearish OB, your stop goes above the OB high. The OB is the "decision point" — if price trades above it, the setup is invalidated. **2. Beyond the FVG.** When entering inside an FVG, stop goes above/below the entire FVG. Institutional order flow that originally created the gap shouldn't be violated if the setup is valid. **3. Below/above the liquidity sweep low/high.** If entering on a stop hunt, your stop goes just beyond the hunt candle's extreme. If that level breaks, smart money is genuinely exiting. **4. Never use fixed pip stops with ICT setups.** A 20-pip stop on EUR/USD might be inside a valid OB, making it extremely vulnerable. Let the structure define the stop, then size your position to keep the dollar risk within your 1-2% rule. Which stop placement method do you use with ICT setups?
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