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Everything you need to know about Order Blocks

* Order Blocks are specific candles that when properly viewed in Institutional context
can highlight Smart Money buying or selling.
- The HTF (1W,1D,4H) Institutional Order Flow is critical to selecting High Probability
ICT Order Blocks to trade on. Understanding the current Trading Range is equally
important in relation to detecting the actions of the Smart Money Traders or Institutions.

*We don’t just buy when the price gets down into a weekly order block level. What we
are looking for is a confluence of supporting factors on LTF as well.
AN IDEAL ORDER BLOCK: (Using a bullish directional bias example):
1) Weekly IOF bullish
2) Bullish Order Block
3) Fib Level between 62%- 79%
4) Killzone (Time & Price Theory)
-Need ALL of these confirmations before entering a trade. DO NOT GET IN IF ALL
THESE CONFIRMATIONS IS NOT THERE!
-Combining all the above factors with seasonal tendencies make the probability of this
trade even higher.

*As we find these weekly order blocks we also want to manage and focus on the weekly
time frame objectives.
-Once the order block unfolds and is being respected, you can short term trade, day
trade, scalp, etc in the direction of the rejection of the order block.

* You can use order blocks in the opposite direction for TP objectives.

*You do not want to see price spend too much time around the level of the OB. You
want to see it react and trade away from it. If it hangs around for a little bit and we don’t
see a pop, the chances of your trade being profitable are decreasing exponentially. In
this scenario, you can :
● Abort the trade right there
● Cut the trade-in half

If the price ever trades into the 50% level of an order block, that’s about as far as you
should want it to trade into the order block.

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