Advanced
ES and GC especially.Order Block
A bullish order block is the last down candle before a strong up move; a bearish order block is the last up candle before a strong down move. The zone marks where institutional positioning happened. Return to it often produces continuation.
Why it works
Large positions cannot be filled at one price. Unfilled interest remains at the origin of the move.
Timeframes
15m order blocks are the most reliable for intraday futures.
Session
All.
The checklist
- 1A clear impulsive leg that breaks structure.
- 2Identify the last opposing candle before that leg.
- 3The leg left an imbalance behind it.
Execution
Entry
At the top (bearish) or bottom (bullish) edge of the block on the first retest.
Stop
Beyond the block.
Target
The liquidity the impulse was headed for.
When you should not take it
- Blocks that have already been tested twice are usually spent.