#AltcoinETFsWatch Tips to consider when analyzing the market.
What is an Order Block?
An Order Block (OB) is the last bullish or bearish candle before a major movement in the opposite direction, and it represents an area where institutions (banks, funds, whales) have placed large buy or sell orders.
It is used to identify institutional support/resistance zones where the price could react.
Types of Order Blocks
Bullish Order Block (Bullish OB)
It is the last bearish candle before a strong bullish movement.
It is considered a demand zone.
One aims to buy when the price returns to that zone.
Bearish Order Block (Bearish OB)
It is the last bullish candle before a strong bearish movement.
It is considered a supply zone.
One aims to sell when the price returns to that zone.
How to identify an Order Block?
Identify a strong price movement (impulse).
Look for the last candle in the opposite direction before the impulse (loading candle).
That candle is the Order Block.
Mark the area from the beginning to the end of the candle (including the wick or just the body, depending on your strategy).
Wait for the price to return to that area to look for an entry.
📊 Graphical example (description without image)
Price falls sharply from 1.2000 to 1.1800.
Before falling, there was a bullish candle from 1.1980 to 1.2000.
That bullish candle is the bearish order block.
If the price returns to 1.1980–1.2000, it may react by going down again.
🧠 Tips
Use it together with:
Market structure (break of structure – BOS)
Imbalances (FVG - Fair Value Gaps)
Confirmations like rejection candles or entry patterns
It works best on higher timeframes (H1, H4, D1), but you can use it in scalping with caution.
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