ICT Central Bank Dealers Range (CBDR) — Full Form, Meaning & Standard Deviation Trading

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CBDR stands for Central Bank Dealers Range. The ICT CBDR is the price range formed between 02:00 PM and 08:00 PM New York local time, and it is used to project the high and low of the upcoming trading day in both bearish and bullish scenarios.

Using directional bias in conjunction with the CBDR adds strength to the projections.

This guide walks you through the ICT Central Bank Dealers Range — the full form and meaning, the identification, the standard-deviation projection, the bullish and bearish models, the best instruments, common mistakes and the FAQ.

You can jump to the section you are most interested in from below or continue reading the full article for a complete view.

What is the ICT Central Bank Dealers Range (CBDR)?

The ICT CBDR — short for Central Bank Dealers Range — is an important central range of price formed between 02:00 PM and 08:00 PM New York local time. The range can then be replicated above or below using standard deviation as projection levels.

Now let us understand the central range and standard deviation.

Suppose we have a central range in the form of a rectangle as shown in the picture below.

A standard deviation is a measure of how dispersed the data is in relation to the mean (centre).

So, one standard deviation above the central range will be the same range added to it as shown in the picture below.

One standard deviation below the central range will be the same range subtracted from it, as shown in the picture below.

The same phenomenon can be applied to price to measure its central range from 02:00 PM to 08:00 PM NY local time — and its standard deviations as shown in the picture below.

CBDR Full Form & Meaning

CBDR full form: Central Bank Dealers Range.

CBDR meaning in ICT: the rectangular price range formed between 02:00 PM and 08:00 PM New York local time, used as the base from which standard-deviation projections (1×, 2×, 3×) define the likely high and low of the next trading day.

The acronym is sometimes mistyped as CDBR — both refer to the same Central Bank Dealers Range concept.

Ideal ICT Central Bank Dealers Range

The CBDR height can be measured using the high and low of that price range. You may use wicks to measure the height or the bodies of candlesticks — ICT prefers the bodies over wicks.

Ideally the Central Bank Dealers Range should be less than 40 pips, preferably no more than 20 to 30 pips.

A range larger than 40 pips would be unfruitful, and on that day you let price do what it wants to do — except for scalp trades.

How to Use the Central Bank Dealers Range in Trading

Most sell days create the high of the day up to 3 standard deviations above the Central Bank Dealers Range.

Ideally a sell day will create the high of the day no more than 2 standard deviations above the CBDR — and many times it will be only one standard deviation.

You can project the low of sell days by taking the central range and its standard deviations together as a single range, and moving it down to -3 standard deviations.

The low of the day will most probably happen in the London Close kill zone.

A real market example of a bearish day projecting the high and low of the day is shown in the picture below.

Most buy days create the low of the day up to 3 standard deviations below the Central Bank Dealers Range.

Ideally a buy day will create the low of the day no more than 2 standard deviations below the CBDR — and many times it will be only one standard deviation.

You can project the high of buy days by taking the central range and its standard deviations together as a single range, and moving it up to 2 or 3 standard deviations depending on the central-range deviations.

The high of the day will most probably happen in the London Close kill zone.

A picture below depicts a real market example of the Central Bank Dealers Range projecting the high and low of a buy day.

For the complete intraday trading strategy using the ICT Central Bank Dealers Range, visit the Profil Intraday TIK guide — it walks through the four daily profiles (Normal/Delayed × Buy/Sell) that combine CBDR, the Asian range and the 12:00 AM to 02:00 AM Judas Swing.

Step-by-Step CBDR Workflow

This is the exact sequence I run when using the CBDR to project the next trading day.

1. Mark the CBDR window. 02:00 PM to 08:00 PM NY local time. Use the bodies of candlesticks (per ICT preference) rather than wicks.
2. Measure the height. Confirm the CBDR is under 40 pips, ideally 20 to 30. If wider, sit out the day except for scalps.
3. Plot 1, 2 and 3 standard deviations above the CBDR. These are the projection levels for sell-day highs.
4. Plot 1, 2 and 3 standard deviations below the CBDR. These are the projection levels for buy-day lows.
5. Set the daily directional bias. Bullish or bearish from the daily and H4.
6. Anticipate the high or low. On a sell day, look for the high of day at +1 or +2 standard deviations. On a buy day, look for the low of day at -1 or -2 standard deviations.
7. Watch the London Close kill zone. The opposite extreme (low on a sell day, high on a buy day) typically prints inside the London Close session.
8. Combine with the daily profile. Use the Profil Intraday TIK framework for the actual trade entry.

Best Time Frame for ICT Central Bank Dealers Range

The best timeframe to measure the ICT Central Bank Dealers Range is the lower timeframes — preferably 15-minute or lower.

I personally measure the CBDR on the 15-minute and use the 5-minute for the standard-deviation precision.

Best Pairs for ICT Central Bank Dealers Range

The ICT Central Bank Dealers Range strategy was first developed and tested on the NASDAQ (NQ Futures) and E-mini (S&P 500), where it found its strength on indices.

As traders applied it to other markets — forex and metals — it continued to show remarkable effectiveness.

This strategy is just as powerful when used on major forex pairs like GBP/USD, EUR/USD and XAU/USD.

For traders in the United States who follow the CFTC FIFO and no-hedge rules, the CBDR maps cleanly onto NQ and ES futures (CME Group). The 02:00 PM to 08:00 PM ET window also overlaps with the late US-equity afternoon and the early Asian session — a window that is fully accessible to US-based traders.

Best Day to Trade Using the ICT Central Bank Dealers Range

You can use the ICT CBDR every day of the week — provided it is an ideal range of less than 40 pips.

But because the weekly high or low is expected to form on Tuesday or Wednesday, those days can be the highest-yielding days using the ICT Central Bank Dealers Range.

Common Mistakes Around the CBDR

These are the recurring mistakes I see when traders first start using the Central Bank Dealers Range.

1. Using wicks instead of bodies. ICT explicitly prefers candle bodies for measuring the CBDR. Using wicks inflates the range and produces unreliable standard-deviation projections.
2. Trading a wide CBDR. A CBDR over 40 pips invalidates the projection. Sit out the day or restrict yourself to scalp trades.
3. Forgetting the London Close kill zone. The opposite extreme (low on a sell day, high on a buy day) typically prints in London Close. Closing the position before that window often misses the rest of the move.
4. Trading without a directional bias. The CBDR projection requires a daily bias. A neutral day usually produces a CBDR that price meanders around without committing.
5. Targeting +3 standard deviations as default. Most days the high prints at +1 or +2 standard deviations, not +3. Setting the default target at +3 routinely leaves money on the table.
6. Confusing CBDR with the Asian range. The CBDR is 02:00 PM to 08:00 PM. The Asian range is 08:00 PM to 12:00 AM. The two are sequential, not overlapping, and they serve different roles in the daily profile.

FAQs about the ICT Central Bank Dealers Range

Brief answers to the questions readers ask most often about the CBDR.

What does CBDR stand for?

CBDR stands for Central Bank Dealers Range. It is the ICT-defined price range formed between 02:00 PM and 08:00 PM New York local time.

What is CBDR in ICT?

In ICT terminology, CBDR is the central rectangular range used as the base for projecting the high and low of the upcoming trading day, with extensions calculated as standard deviations above and below the range.

What is the CBDR time?

02:00 PM to 08:00 PM New York local time — six hours of price action that form the central range.

What is the ideal CBDR size?

Less than 40 pips, ideally 20 to 30 pips. A wider CBDR invalidates the standard-deviation projections.

How is the CBDR projected for a sell day?

On a sell day, the high of the day is projected at 1 to 3 standard deviations above the CBDR (ideally 1 or 2). The low of the day projects to -3 standard deviations and typically prints in the London Close kill zone.

How is the CBDR projected for a buy day?

On a buy day, the low of the day is projected at 1 to 3 standard deviations below the CBDR (ideally 1 or 2). The high of the day projects to +2 or +3 standard deviations and typically prints in the London Close kill zone.

Which timeframe is best for measuring CBDR?

15-minute or lower. I personally use the 15-minute for the range itself and the 5-minute for standard-deviation precision.

Which day of the week is best for CBDR trading?

Tuesday and Wednesday — because the weekly high or low is most often formed on those days.

Which pairs work best with CBDR?

Originally NQ and ES futures. Now equally effective on GBP/USD, EUR/USD and XAU/USD when the CBDR is under 40 pips.

What is the difference between CBDR and the Asian range?

CBDR is 02:00 PM to 08:00 PM NY local. The Asian range is 08:00 PM to 12:00 AM NY local. The two are sequential — CBDR ends as Asian range begins — and the ICT intraday-profile framework uses both together.

Should I use wicks or bodies to measure CBDR?

ICT prefers the bodies of the candlesticks. Wicks tend to overstate the range and dilute the precision of the standard-deviation projections.