What is a block order?

Order blocks describe a rare type of supply and demand zone created when banks use a block order to enter a significant trading position. For order flow traders, block orders probably sound familiar. Imagine the banks need to enter a huge buy or sell position, but they don’t want to send the market into a frenzy.

What are order blocks & Breakers?

Order blocks and Breakers tutorial !! The LAST BULLISH or BEARISH cand before an IMPULSE up or down, represent an OB or Order Block. -Why do we call them order blocks and why are they important? Order Blocks are one type of supply and demand on the market, you can expect them to act as a support or resistance depending on the impulse after them.

What is order block imbalance?

A: Order block imbalance refers to the rapid spike or fall in price caused by banks entering via block orders. The order imbalance causes the rise/fall and produces the order block zone. The same happens with regular S&D zones, just through the use of standard orders instead of block orders. The imbalance between orders creates the zone.

Do order blocks mean market manipulation?

This view is similar to the accumulation phase in the Wyckoff market cycle theory. In our opinion, people often overstate the importance of order blocks. They exist because large orders are typically impractical to execute at one go. They do not necessarily mean market manipulation.