Understanding Order Blocks in Trading
Fair value gap with an order block trades into it here.
Rallies, order block cut through candles, folks. Bullish order block rallies.
Another order block one, two, three.
Why do I only use this one candle here and why do I use all of these
here? Because all of these candles here
are going against order flow.
Order flow is bullish. So if there's a series of down closed candles
and we rally
through it strongly like we do here, go back to that original high candle,
extend
it forward. We have an imbalance? Yes.
We have a potential order block here, but I'm not interested in that one. Why?
Because the candle's body on this one goes lower than that one.
There's rules, there's levels to all this, folks.
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