How To Find And Trade Order Blocks – Advanced Trading Strategy

[rayz]

Characteristics of a good order block
Before we get into the details, let’s examine how an order block looks like and what characterizes a good order block. Here are the key points of an order block:

An order block is created after a long and strong trend. The order block then looks like a market top or bottom
Price leaves the order block with a high momentum breakout and/or starts a new trend when leaving the order block
Price should not stay too long in a range during the creation of the order block

Drawing order blocks on your charts
Those are basically already the main characteristics of a good order block (watch the video for more explanations). Now we come to drawing and charting the order block. Here is how you chart the order block:

In case of an order block after a rally, you take the high and the last swing low and draw a box around it
Until price breaks out, the order block isn’t confirmed yet
You extend the zone of the order block into the future and wait until price comes back to it
You can see, that’s also very straight forward and after a few attempts, you should be able to spot and chart order blocks fast. Now we come to the final point how to trade order blocks.

FULL
https://www.tradeciety.com/how-to-find-and-trade-order-blocks-advanced-trading-strategy/

 

[bent79]

keep it up...need more info...