The white horse of Alih tells the story of young Alih, and his older brother Omar, as they try to redeem themselves from the shame of being robbed of all of their prized possessions. Alih and Omar decide that the only way to strip themselves of their shame is to cleanse their body, prepare them for burial, and kill someone. By killing some random person (and in turned being killed by the authorities), Omar believes that Allah will send the eponymous white horses for them to be carried to paradise.
It was during the 4th day of July parade at the plaza. Before the actual plan was carried off, Alih reminisces about the tree women who have made incredible impacts of his life: Lucy, an American girl he met when he was in first grade; Fermina, a Christian barmaid he drunken flirted with before he was sentenced to jail for six (6) months; and the girl from Balete to whom he lost his virginity.
As he comes back to reality, he sees a girl atop a float at the back of the parade. As the float came closer, he starts to compare the girl to the girl from Balete he slept with. Suddenly, a drunken Omar rampages around the plaza intent on killing anyone who stands in his way. As Omar comes closer to the parade girl, Alih runs in a flash to save her, remembering Lucy, Fermina and the girl from the Balete. In the end, Alih kills Omar in he arrested by the authorities.