ICT Setup 02 [TradingFinder] Breaker Blocks + Reversal Candles🔵 Introduction
The "Breaker Block" concept, widely utilized in ICT (Inner Circle Trader) technical analysis, is a crucial tool for identifying reversal points and significant market shifts. Originating from the "Order Block" concept, Breaker Blocks help traders pinpoint support and resistance levels. These blocks are essential for understanding market trends and recognizing optimal entry and exit points.
A Breaker Block is essentially a failed Order Block that changes its role when price action breaks through it. When an Order Block fails to hold as a support or resistance level, it reverses its function, becoming a Breaker Block.
There are two primary types : Bullish Breaker Blocks and Bearish Breaker Blocks. These Breaker Blocks align with the prevailing market trend and indicate potential entry points after a liquidity sweep or a shift in market structure.
Understanding and applying the Breaker Block strategy enables traders to capitalize on the behavior of institutional investors, enhancing their trading outcomes.
Bullish Setup :
Bearish Setup :
🔵 How to Use
The ICT Setup 02 indicator designed to automate the identification of Bullish and Bearish Breaker Blocks. This tool enables traders to easily spot these blocks on a chart and utilize them for entering or exiting trades. Below is a breakdown of how to use this indicator in both bullish and bearish setups.
🟣 Bullish Breaker Block Setup
A Bullish Breaker Block setup is identified in an uptrend, where it serves as a potential entry point. This setup occurs when a Bearish Order Block fails and the price moves above the high of that Order Block. In this scenario, the previously bearish Order Block turns into a Bullish Breaker Block, which now acts as a support level for the price.
To trade a Bullish Breaker Block, wait for the price to retest this newly formed support level. Confirmation of the uptrend can be achieved by analyzing lower time frames for further market structure shifts or other bullish indicators.
A successful retest of the Bullish Breaker Block provides a high-probability entry point for a long trade, as it signals institutional support. Traders often place their stop-loss below the low of the Breaker Block zone to minimize risk.
🟣 Bearish Breaker Block Setup
A Bearish Breaker Block setup, conversely, is used in a downtrend to identify potential sell opportunities. This setup forms when a Bullish Order Block fails, and the price moves below the low of that Order Block.
Once this Order Block is broken, it reverses its role and becomes a Bearish Breaker Block, providing resistance to the price as it pushes downward. For a Bearish Breaker Block trade, wait for the price to retest this resistance level.
A confirmation of the downtrend, such as a market structure shift on a lower time frame or additional bearish signals, strengthens the setup. The Bearish Breaker Block retest provides an opportunity to enter a short position, with a stop-loss placed just above the high of the Breaker Block zone.
🔵 Settings
Pivot Period : This setting controls the look-back period used to identify pivot points that contribute to the detection of Order Blocks. A higher period captures longer-term pivots, while a lower period focuses on more recent price action. Adjusting this parameter allows traders to fine-tune the indicator to match their trading time frame.
Breaker Block Validity Period : This setting defines how long a Breaker Block remains valid based on the number of bars elapsed since its formation. Increasing the validity period keeps Breaker Blocks active for a longer duration, which can be useful for higher time frame analysis.
Mitigation Level BB : This option lets traders choose the level of the Order Block at which the price is expected to react. Options like "Proximal," "50% OB," and "Distal" adjust the zone where a reaction may occur, offering flexibility in setting up the entry and stop-loss levels.
Breaker Block Refinement : The refinement option refines the Breaker Block zone to display a more precise range for aggressive or defensive trading approaches. The "Aggressive" mode provides a tighter range for risk-tolerant traders, while the "Defensive" mode expands the zone for those with a more conservative approach.
🔵 Conclusion
The Breaker Block indicator provides traders with a sophisticated tool for identifying key reversal zones in the market. By leveraging Breaker Blocks, traders can gain insights into institutional order flow and predict critical support and resistance levels.
Using Breaker Blocks in conjunction with other ICT concepts, like Fair Value Gaps or liquidity sweeps, enhances the reliability of trading signals. This indicator empowers traders to make informed decisions, aligning their trades with institutional moves in the market.
As with any trading strategy, it is crucial to incorporate proper risk management, using stop-losses and position sizing to minimize potential losses. The Breaker Block strategy, when applied with discipline and thorough analysis, serves as a powerful addition to any trader’s toolkit.
Breakerblock
Volumetric Volatility Breaker Blocks [UAlgo]The "Volumetric Volatility Breaker Blocks " indicator is designed for traders who want a comprehensive understanding of market volatility combined with volume analysis. This indicator provides a clear visualization of significant volatility areas (or blocks), characterized by price movements that exceed a specific volatility threshold, as calculated using the ATR (Average True Range). The concept is enhanced by integrating volume-based insights, offering a view of market activity that helps users to recognize when significant price changes are being supported by an appropriate level of market participation.
The indicator calculates breaker blocks for both bullish and bearish market conditions, providing distinct visual elements that identify periods of high volatility and substantial volume divergence. The focus on both volume and volatility makes this tool versatile, allowing traders to assess the strength of price movements as well as areas where price might break above or below previously established levels.
It supports adjustable parameters, such as volatility length, smoothness factor, and volume display, allowing traders to fine-tune the indicator according to their trading strategy and market environment. The highlighted breaker blocks assist in identifying zones of potential price reversal or continuation, which can be critical for making informed trading decisions.
🔶 Key Features
Volatility-Based Block Identification: The indicator uses the Average True Range (ATR) to determine the volatility of the market. When the ATR exceeds a specified threshold (smooth ATR multiplied by a user-defined multiplier), it highlights these areas as volatility blocks. The idea is to mark periods where price activity is significantly divergent from normal conditions, which often signals market opportunities.
Volume Integrated Analysis: In addition to tracking volatility, the indicator incorporates volume data, allowing traders to see the amount of activity that occurs during these high-volatility periods. This helps in identifying whether a price movement is likely sustainable or whether it lacks market support.
User Adjustable Parameters: The indicator offers customization options for the volatility length (using ATR), smooth length, and multiplier for sensitivity adjustment. These settings enable users to modify the indicator’s responsiveness to market conditions.
The option to display the last few volatility blocks allows traders to manage clutter on their charts and focus only on the most recent significant data.
Mitigation Method: Users can select between different mitigation methods ("Close" or "Wick") to determine how blocks are broken. This adds an extra layer of adaptability, allowing traders to modify the indicator's response based on different price action strategies.
Dynamic Visual Representation: The indicator dynamically draws boxes for volatility blocks and shades them according to market direction, with split areas showing the bullish and bearish strength contributions. It also provides percentage volume for each block, helping traders understand the relative market participation during these moves.
🔶 Interpreting the Indicator
Identifying High Volatility Areas: When a new volatility block appears, it signifies that the market is experiencing higher-than-usual volatility, driven by increased ATR values. Traders should pay attention to these blocks, as they often indicate that a significant price move is occurring. Bullish blocks suggest upward pressure, whereas bearish blocks indicate downward pressure.
Volume Insights: The volume associated with each volatility block provides an insight into how much market participation accompanies these moves. Higher volume within a block implies that the market is actively supporting the price change, which may be a sign of continuation. Low volume suggests that the movement may lack the strength to persist.
Bullish vs. Bearish Strength Analysis: Each block is split into bullish and bearish strength, giving a clearer picture of what’s happening within the volatility period. If the bullish portion dominates, it indicates strong upward sentiment during that period. Conversely, if the bearish side is more prominent, there is more selling pressure. This breakdown helps in understanding intra-block market dynamics.
Volume Percentage Display: The indicator also displays the volume percentage in each block, which provides context for the strength of the move relative to recent market activity. Higher percentages mean more market engagement, which could confirm the legitimacy of a trend or a significant breakout.
🔶 Disclaimer
Use with Caution: This indicator is provided for educational and informational purposes only and should not be considered as financial advice. Users should exercise caution and perform their own analysis before making trading decisions based on the indicator's signals.
Not Financial Advice: The information provided by this indicator does not constitute financial advice, and the creator (UAlgo) shall not be held responsible for any trading losses incurred as a result of using this indicator.
Backtesting Recommended: Traders are encouraged to backtest the indicator thoroughly on historical data before using it in live trading to assess its performance and suitability for their trading strategies.
Risk Management: Trading involves inherent risks, and users should implement proper risk management strategies, including but not limited to stop-loss orders and position sizing, to mitigate potential losses.
No Guarantees: The accuracy and reliability of the indicator's signals cannot be guaranteed, as they are based on historical price data and past performance may not be indicative of future results.
Volatility Breaker Blocks [BigBeluga]The Volatility Breaker Blocks indicator identifies key market levels based on significant volatility at pivot highs and lows. It plots blocks that act as potential support and resistance zones, marked in green (support) and blue (resistance). Even after a breakout, these blocks leave behind shadow boxes that continue to impact price action. The sensitivity of block detection can be adjusted in the settings, allowing traders to customize the identification of volatility breakouts. The blocks print triangle labels (up or down) after breakouts, indicating potential areas of interest.
🔵 IDEA
The Volatility Breaker Blocks indicator is designed to highlight key areas in the market where volatility has created significant price action. These blocks, created at pivot highs and lows with increased volatility, act as potential support and resistance levels.
The idea is that even after price breaks through these blocks, the remaining shadow boxes continue to influence price movements. By focusing on volatility-driven pivot points, traders can better anticipate how price may react when it revisits these areas. The indicator also captures the natural tendency for price to retest broken resistance or support levels.
🔵 KEY FEATURES & USAGE
◉ High Volatility Breaker Blocks:
The indicator identifies areas of high volatility at pivot highs and lows, plotting blocks that represent these zones. Green blocks represent support zones (identified at pivot lows), while blue blocks represent resistance zones (identified at pivot highs).
Support:
Resistance:
◉ Shadow Blocks after Breakouts:
When price breaks through a block, the block doesn't disappear. Instead, it leaves behind a shadow box, which can still influence future price action. These shadow blocks act as secondary support or resistance levels.
If the price crosses these shadow blocks, the block stops extending, and the right edge of the box is fixed at the point where the price crosses it. This feature helps traders monitor important price levels even after the initial breakout has occurred.
◉ Triangle Labels for Breakouts:
After the price breaks through a volatility block, the indicator prints triangle labels (up or down) at the breakout points.
◉ Support and Resistance Retests:
One of the key concepts in this indicator is the retesting of broken blocks. After breaking a resistance block, price often returns to the shadow box, which then acts as support. Similarly, after breaking a support block, price tends to return to the shadow box, which becomes a resistance level. This concept of price retesting and bouncing off these levels is essential for understanding how the indicator can be used to identify potential entries and exits.
The natural tendency of price to retest broken resistance or support levels.
Additionaly indicator can display retest signals of broken support or resistance
◉ Customizable Sensitivity:
The sensitivity of volatility detection can be adjusted in the settings. A higher sensitivity captures fewer but more significant breakouts, while a lower sensitivity captures more frequent volatility breakouts. This flexibility allows traders to adapt the indicator to different trading styles and market conditions.
🔵 CUSTOMIZATION
Calculation Window: Defines the window of bars over which the breaker blocks are calculated. A larger window will capture longer-term levels, while a smaller window focuses on more recent volatility areas.
Volatility Sensitivity: Adjusts the threshold for volatility detection. Lower sensitivity captures smaller breakouts, while higher sensitivity focuses on larger, more significant moves.
Retest Signals: Display or hide retest signals of shadow boxes
Price Action Volumetric Breaker Blocks [UAlgo]The Price Action Volumetric Breaker Blocks indicator is designed to identify and visualize significant price levels in the market. It combines concepts of price action, volume analysis, and market structure to provide traders with a comprehensive view of potential support and resistance areas. This indicator identifies "breaker blocks," which are price zones where the market has shown significant interest in the past.
These blocks are created based on swing highs and lows, and are further analyzed using volume data to determine their strength. The indicator also tracks market structure shifts, providing additional context to price movements.
By visualizing these key levels and market structure changes, traders can gain insights into potential areas of price reversal or continuation, helping them make more informed trading decisions.
🔶 Key Features
Dynamic Breaker Block Identification: The indicator automatically detects and draws breaker blocks based on swing highs and lows. These blocks represent areas of potential support and resistance.
Volume-Weighted Strength Analysis: Each breaker block is analyzed using volume data to determine its bullish and bearish strength. This is visually represented by the proportion of green (bullish) and red (bearish) coloring within each block.
Market Structure Break (MSB) and Break of Structure (BOS): The indicator identifies and labels Market Structure Breaks (MSB) and Break of Structure (BOS) events, providing context to larger market trends.
Customizable Settings:
- Adjustable swing length for identifying pivot points
- Option to show a specific number of recent breaker blocks
- Choice between wick or close price for violation checks
- Toggle to hide overlapping blocks for cleaner analysis
Violation Detection: Automatically detects when a breaker block has been violated (broken through), either by wick or close price, depending on user settings.
Overlap Control: Provides an option to hide overlapping order blocks, ensuring that the chart remains clean and easy to read when multiple blocks are detected in close proximity.
🔶 Interpreting Indicator
Breaker Blocks:
Breaker blocks are key areas where the price moves through and invalidates a previously identified order block. The indicator detects a breaker block when the price violates an order block by exceeding its high or low (depending on whether it's a bullish or bearish block). This violation is determined by either the wick or the close of a candle, depending on the user's selection in the "Violation Check" setting. When a breaker block is detected, the indicator removes the violated order block from the chart, signaling that the zone is no longer relevant for future price action.
Bullish Breaker Block: This occurs when a bearish order block (red) is violated by the price closing above the block’s top boundary or when the wick surpasses this level. It signals that a prior bearish structure has been invalidated, and the market may shift to a bullish trend.
Bearish Breaker Block: This occurs when a bullish order block (teal) is violated by the price closing below the block’s bottom boundary or when the wick drops below it. It suggests that a previous bullish structure has been broken, indicating potential bearish momentum.
Market Structure Labels:
"MSB" (Market Structure Break) labels indicate a potential change in trend direction.
"BOS" (Break of Structure) labels confirm the continuation of the current trend after breaking a significant level.
Block Strength:
A block with more green indicates stronger bullish interest.
A block with more red indicates stronger bearish interest.
The relative sizes of the green and red portions show the balance of power between buyers and sellers at that level.
🔶 Disclaimer
Use with Caution: This indicator is provided for educational and informational purposes only and should not be considered as financial advice. Users should exercise caution and perform their own analysis before making trading decisions based on the indicator's signals.
Not Financial Advice: The information provided by this indicator does not constitute financial advice, and the creator (UAlgo) shall not be held responsible for any trading losses incurred as a result of using this indicator.
Backtesting Recommended: Traders are encouraged to backtest the indicator thoroughly on historical data before using it in live trading to assess its performance and suitability for their trading strategies.
Risk Management: Trading involves inherent risks, and users should implement proper risk management strategies, including but not limited to stop-loss orders and position sizing, to mitigate potential losses.
No Guarantees: The accuracy and reliability of the indicator's signals cannot be guaranteed, as they are based on historical price data and past performance may not be indicative of future results.
Pure Price Action ICT Tools [LuxAlgo]The Pure Price Action ICT Tools indicator is designed for pure price action analysis, automatically identifying real-time market structures, liquidity levels, order & breaker blocks, and liquidity voids.
Its unique feature lies in its exclusive reliance on price patterns, without being constrained by any user-defined inputs, ensuring a robust and objective analysis of market dynamics.
🔶 MARKET STRUCTURES
A Market Structure Shift, also known as a Change of Character (CHoCH), is a pivotal event in price action analysis indicating a potential change in market sentiment or direction. An MSS occurs when the price reverses from an established trend, signaling that the prevailing trend may be losing momentum and a reversal might be underway. This shift is often identified by key technical patterns, such as a higher low in a downtrend or a lower high in an uptrend, which indicate a weakening of the current trend's strength.
A Break of Structure typically indicates the continuation of the current market trend. This event occurs when the price decisively moves beyond a previous swing high or low, confirming the strength of the prevailing trend. In an uptrend, a BOS is marked by the price breaking above a previous high, while in a downtrend, it is identified by the price breaking below a previous low.
While a Market Structure Shift (MSS) can indicate a potential trend reversal and a Break of Structure (BOS) often confirms trend continuation, they do not assure a complete reversal or continuation. MSS and BOS levels can also function as liquidity zones or areas of price consolidation rather than definitively signaling a change in market direction. Traders should approach these signals cautiously and validate them with additional factors before making trading decisions. For further details on other components of the tool, please refer to the following sections.
🔶 ORDER & BREAKER BLOCKS
Order and Breaker Blocks are key concepts in price action analysis that help traders identify significant levels in the market structure.
Order Blocks are specific price zones where significant buying or selling activity has occurred. These zones often represent the actions of large institutional traders or market makers, who execute substantial orders that impact the market.
Breaker Blocks are specific price zones where a strong reversal occurs, causing a break in the prevailing market structure. These blocks indicate areas where the price encountered significant resistance or support, leading to a reversal.
In summary, Order and Breaker Blocks are essential tools in price action analysis, providing insights into significant market levels influenced by institutional trading activities. These blocks help traders make informed decisions about potential support and resistance levels, trend reversals, and breakout confirmations.
🔶 BUYSIDE & SELLSIDE LIQUIDITY
Both buy-side and sell-side liquidity zones are critical for identifying potential turning points in the market. These zones are where significant buying or selling interest is concentrated, influencing future price movements.
In summary, buy-side and sell-side liquidity provide crucial insights into market demand and supply dynamics, helping traders make informed decisions based on the availability of orders at different price levels.
🔶 LIQUIDITY VOIDS
Liquidity voids are gaps or areas on a price chart where there is a lack of trading activity. These voids represent zones with minimal to no buy or sell orders, often resulting in sharp price movements when the market enters these areas.
In summary, liquidity voids are crucial areas on a price chart characterized by a lack of trading activity. These voids can lead to rapid price movements and increased volatility, making them essential considerations for traders in their analysis and decision-making processes.
🔶 SWING POINTS
Reversal price points are commonly referred to as swing points. Traders often analyze historical swing points to discern market trends and pinpoint potential trade entry and exit points.
Do note that in this script these are subject to backpainting, that is they are not located where they are detected.
The detection of swing points and the unique feature of this script rely exclusively on price action, eliminating the need for numerical user-defined settings. The process begins with detecting short-term swing points:
Short-Term Swing High (STH): Identified as a price peak surrounded by lower highs on both sides.
Short-Term Swing Low (STL): Recognized as a price trough surrounded by higher lows on both sides.
Intermediate-term and long-term swing points are detected using the same approach but with a slight modification. Instead of directly analyzing price candles, previously detected short-term swing points are utilized. For intermediate-term swing points, short-term swing points are analyzed, while for long-term swing points, intermediate-term ones are used.
This method ensures a robust and objective analysis of market dynamics, offering traders reliable insights into market structures. Detected swing points serve as the foundation for identifying market structures, buy-side/sell-side liquidity levels, and order and breaker blocks presented with this tool.
In summary, swing points are essential elements in technical analysis, helping traders identify trends, support, and resistance levels, and optimal entry and exit points. Understanding swing points allows traders to make informed decisions based on the natural price movements in the market.
🔶 SETTINGS
🔹 Market Structures
Market Structures: Toggles the visibility of the market structures, both shifts and breaks.
Detection: An option that allows users to detect market structures based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Market Structure Labels: Controls the visibility of labels that highlight the type of market structure.
Line Style: Customizes the style of the lines representing the market structure.
🔹 Order & Breaker Blocks
Order & Breaker Blocks: Toggles the visibility of the order & breaker blocks.
Detection: An option that allows users to detect order & breaker blocks based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Last Bullish Blocks: Number of the most recent bullish order/breaker blocks to display on the chart.
Last Bearish Blocks: Number of the most recent bearish order/breaker blocks to display on the chart.
Use Candle Body: Allows users to use candle bodies as order block areas instead of the full candle range.
🔹 Buyside & Sellside Liquidity
Buyside & Sellside Liquidity: Toggles the visibility of the buyside & sellside liquidity levels.
Detection: An option that allows users to detect buy-side & sell-side liquidity based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Margin: Sets margin/sensitivity for a liquidity level detection.
Visible Levels: Controls the amount of the liquidity levels/zones to be visualized.
🔹 Liquidity Voids
Liquidity Voids: Enable display of both bullish and bearish liquidity voids.
Threshold Multiplier: Defines the multiplier for the threshold, which is hard-coded to the 200-period ATR range.
Mode: Controls the lookback length for detection and visualization. Present considers the last X bars specified in the option, while Historical includes all available data.
Label: Enable display of a label indicating liquidity voids.
🔹 Swing Highs/Lows
Swing Highs/Lows: Toggles the visibility of the swing levels.
Detection: An option that allows users to detect swing levels based on the significance of swing levels, including short-term, intermediate-term, and long-term.
Label Size: Control the size of swing level labels.
🔶 RELATED SCRIPTS
Pure-Price-Action-Structures.
Market-Structures-(Intrabar).
Buyside-Sellside-Liquidity.
Order-Breaker-Blocks.
ICT Unicorn | Flux Charts💎 GENERAL OVERVIEW
Introducing our new ICT Unicorn Indicator! This indicator is built around the ICT's "Unicorn" strategy. The strategy uses Breaker Blocks and Fair Value Gaps for entry confirmation. For more information about the process, check the "HOW DOES IT WORK" section.
Features of the new ICT Unicorn Indicator :
Implementation of ICT's Unicorn Strategy
Toggleable Retracement Entry Method
3 Different TP / SL Methods
Customizable Execution Settings
Customizable Backtesting Dashboard
Alerts for Buy, Sell, TP & SL Signals
📌 HOW DOES IT WORK ?
The ICT Unicorn entry model merges the concepts of Breaker Blocks and Fair Value Gaps (FVGs), offering a distinct method for identifying trade opportunities. By integrating these two elements, we can have a position entry with stop-loss and take-profit targets on the potential support & resistance zones. This model is particularly reliable for trade entry, as it combines two powerful entry techniques.
An ICT Unicorn Model consists of a FVG which is overlapping with a Breaker Block of the same type. Here is an example :
When a FVG overlaps with a Breaker Block of the same type, the indicator gives a Buy or Sell signal depending on the FVG type (Bullish & Bearish). If the "Require Retracement" option is enabled in the settings, the signals are not given immediately. Instead, the current price of the ticker will need to touch the FVG once more before the signals are given.
After the Buy or Sell signal, the indicator immediately draws the take-profit (TP) and stop-loss (SL) targets. The indicator has three different TP & SL modes, explained in the "Settings" section of this write-up.
You can set up alerts for entry and TP & SL signals, and also check the current performance of the indicator and adjust the settings accordingly to the current ticker using the backtesting dashboard.
🚩 UNIQUENESS
This indicator is an all-in-one suit for the ICT's Unicorn concept. It's capable of plotting the strategy, giving signals, a backtesting dashboard and alerts feature. Different and customizable algorithm modes will help the trader fine-tune the indicator for the asset they are currently trading. Three different TP / SL modes are available to suit your needs. The backtesting dashboard allows you to see how your settings perform in the current ticker. You can also set up alerts to get informed when the strategy is executable for different tickers.
⚙️ SETTINGS
1. General Configuration
FVG Detection Sensitivity -> You may select between Low, Normal, High or Extreme FVG detection sensitivity. This will essentially determine the size of the spotted FVGs, with lower sensitivies resulting in spotting bigger FVGs, and higher sensitivies resulting in spotting all sizes of FVGs.
Swing Length -> Swing length is used when finding order block formations. Smaller values will result in finding smaller order & breaker blocks.
Require Retracement ->
a) Disabled : The entry signal is given immediately once a FVG overlaps with a Breaker Block of the same type.
b) Enabled : The current price of the ticker will need to touch the FVG once more before the entry signal is given.
2. TP / SL
TP / SL Method ->
a) Unicorn : This is the default option. The SL will be set to the lowest low of the last 100 bars with an extra offset in a Buy signal. For Sell signals, the SL will be set to the highest high of the last 100 bars with an extra offset. The TP is then set to a value using the SL value and maintaining a risk-reward ratio.
b) Dynamic: The TP / SL zones will be auto-determined by the algorithm based on the Average True Range (ATR) of the current ticker.
c) Fixed : You can adjust the exact TP / SL ratios from the settings below.
Dynamic Risk -> The risk you're willing to take if "Dynamic" TP / SL Method is selected. Higher risk usually means a better winrate at the cost of losing more if the strategy fails. This setting is has a crucial effect on the performance of the indicator, as different tickers may have different volatility so the indicator may have increased performance when this setting is correctly adjusted.
Unicorn ICT Signals [TradingFinder] Breaker Block + FVG Zones🔵 Introduction
The "ICT Unicorn Model" trading strategy in the "Inner Circle Trader" (ICT) style is one of the well-known strategies in the world of Forex and financial market trading.
The ICT methodology was developed by Michael Huddleston and is based on technical analysis and Price Action concepts.
This style focuses specifically on interpreting price movements and identifying optimal entry and exit points in the market.
In the Unicorn strategy, traders seek points where the probability of price reversal or trend continuation is high. This strategy is primarily based on recognizing and analyzing Price Action patterns and market structure.
By understanding"ICT Unicorn Model", traders can make more informed decisions about where to enter or exit trades, thereby increasing their chances of success in the market.
🟣 Understanding the Breaker Block
A Breaker Block is a specialized form of an Order Block that changes its role after a key market level is broken. Typically, an Order Block is an area on the chart where large institutional orders are likely to be placed, providing strong support or resistance.
However, when this area is breached, and the price moves in the opposite direction, it transforms into what is known as a Breaker Block. This shift indicates a reversal in market sentiment, turning the previous support into resistance or vice versa, thereby signaling a potential trend change to traders.
🟣 The Significance of the Fair Value Gap (FVG)
The Fair Value Gap (FVG) refers to an area on a price chart where the price rapidly moves through a level, leaving behind a gap. This gap represents an imbalance between supply and demand and is often seen as a potential area for price to return and fill the gap.
These zones are crucial for traders as they can indicate future price movements, providing opportunities to enter or exit trades.
🟣 Defining the ICT Unicorn Model
When an FVG overlaps with a Breaker Block, it forms a highly significant trading area known as a Unicorn. This overlap creates an ideal zone for traders to enter the market, as it combines two powerful technical signals.
The Unicorn Model is therefore considered an optimal strategy for identifying precise entry and exit points in the financial markets.
Demand ICT Unicorn Model :
Supply ICT Unicorn Model :
🔵 How to Use
🟣 Bullish ICT Unicorn
The Bullish ICT Unicorn model is applicable when the market is in an uptrend, and traders are seeking buying opportunities.
Follow these steps to identify Bullish ICT Unicorn :
Identify the Bullish Breaker Block : Locate an area where the price moved upward after breaking an Order Block. This area now acts as a Breaker Block.
Identify the Bullish FVG : Look for a Fair Value Gap near the Breaker Block.
Confirm the Unicorn : When the Bullish Breaker Block and Bullish FVG overlap, a Bullish Unicorn is confirmed. Traders can enter a buy position when the price returns to this zone.
🟣Bearish ICT Unicorn
The Bearish ICT Unicorn model is used when the market is in a downtrend, and traders are looking for selling opportunities.
To identify Bearish ICT Unicorn, follow these steps :
Identify the Bearish Breaker Block : Find an area where the price moved downward after breaking an Order Block. This area now acts as a Breaker Block.
Identify the Bearish FVG : Check if a Fair Value Gap has formed near the Breaker Block.
Confirm the Unicorn : When the Bearish Breaker Block and Bearish FVG overlap, a Bearish Unicorn is confirmed. Traders can enter a sell position when the price returns to this zone.
🔵 Setting
🟣 Global Setting
Pivot Period of Order Blocks Detector : Enter the desired pivot period to identify the Order Block.
Order Block Validity Period (Bar) : You can specify the maximum time the Order Block remains valid based on the number of candles from the origin.
Mitigation Level Breaker Block : Determining the basic level of a Breaker Block. When the price hits the basic level, the Breaker Block due to mitigation.
Mitigation Level FVG : Determining the basic level of a FVG. When the price hits the basic level, the FVG due to mitigation.
Mitigation Level Unicorn : Determining the basic level of a Unicorn Block. When the price hits the basic level, the Unicorn Block due to mitigation.
🟣 Unicorn Block Display
Show All Unicorn Block : If it is turned off, only the last Order Block will be displayed.
Demand Unicorn Block : Show or not show and specify color.
Supply Unicorn Block : Show or not show and specify color.
🟣 Breaker Block Display
Show All Breaker Block : If it is turned off, only the last Breaker Block will be displayed.
Demand Main Breaker Block : Show or not show and specify color.
Demand Sub (Propulsion & BoS Origin) Breaker Block : Show or not show and specify color.
Supply Main Breaker Block : Show or not show and specify color.
Supply Sub (Propulsion & BoS Origin) Breaker Block : Show or not show and specify color.
🟣 Fair Value Gap Display
Show Bullish FVG : Toggles the display of demand-related boxes.
Show Bearish FVG : Toggles the display of supply-related boxes.
🟣 Logic Settings
🟣 Order Block Refinement
Refine Order Blocks : Enable or disable the refinement feature. Mode selection.
🟣 FVG Filter
FVG Filter : This refines the number of identified FVG areas based on a specified algorithm to focus on higher quality signals and reduce noise.
Types of FVG filters :
Very Aggressive Filter: Adds a condition where, for an upward FVG, the last candle's highest price must exceed the middle candle's highest price, and for a downward FVG, the last candle's lowest price must be lower than the middle candle's lowest price. This minimally filters out FVGs.
Aggressive Filter: Builds on the Very Aggressive mode by ensuring the middle candle is not too small, filtering out more FVGs.
Defensive Filter: Adds criteria regarding the size and structure of the middle candle, requiring it to have a substantial body and specific polarity conditions, filtering out a significant number of FVGs.
Very Defensive Filter: Further refines filtering by ensuring the first and third candles are not small-bodied doji candles, retaining only the highest quality signals.
🟣 Alert
Alert Name : The name of the alert you receive.
Alert ICT Unicorn Model Block Mitigation :
On / Off
Message Frequency :
This string parameter defines the announcement frequency. Choices include: "All" (activates the alert every time the function is called), "Once Per Bar" (activates the alert only on the first call within the bar), and "Once Per Bar Close" (the alert is activated only by a call at the last script execution of the real-time bar upon closing). The default setting is "Once per Bar".
Show Alert Time by Time Zone :
The date, hour, and minute you receive in alert messages can be based on any time zone you choose. For example, if you want New York time, you should enter "UTC-4". This input is set to the time zone "UTC" by default.
🔵Conclusion
The Unicorn Model in ICT, utilizing the concepts of Breaker Blocks and Fair Value Gaps, provides an effective tool for identifying entry and exit points in financial markets. By offering more precise signals, this model helps traders make better decisions and minimize trading risks.
Success in applying this model requires practice and a deep understanding of market structure, but it can significantly improve trading performance.
Breaker Blocks + Order Blocks confirm [TradingFinder] BBOB Alert🔵 Introduction
In the realm of technical analysis, various tools and concepts are employed to identify key levels on price charts. These tools assist traders in analyzing market trends with greater precision, enabling them to optimize their trading decisions. Among these tools, the Order Block and Breaker Block hold a significant place, serving as effective instruments for analyzing market structure.
🟣 Order Block
An Order Block refers to zones on a chart where large financial institutions and high-volume traders place their orders. Due to the substantial volume of buy or sell orders in these areas, they are often regarded as pivotal points for potential price reversals or temporary pauses in a trend. Order Blocks are particularly crucial when prices react to these zones after a strong market move, acting as strong support or resistance levels.
🟣 Breaker Block
On the other hand, a Breaker Block refers to areas on a chart that previously functioned as Order Blocks but where the price has managed to break through and continue in the opposite direction. These zones are typically recognized as key points where market trends might shift, helping traders identify potential reversal points in the market.
🟣 Overlapping Block (BBOB)
Now, imagine a scenario where these two essential concepts in technical analysis—Order Blocks and Breaker Blocks—overlap on a chart. Although this overlap is not specifically discussed within the ICT (Inner Circle Trader) trading framework, exploring and utilizing this overlap can provide traders with powerful insights into strong support and resistance zones. The combination of these two robust concepts can highlight critical areas in trading, potentially offering significant advantages in making informed trading decisions.
In this article, we will delve into the concept of this overlap, explaining how to utilize it in trading strategies. Additionally, we will analyze the potential outcomes and benefits of incorporating this concept into your trading decisions.
Bullish Overlapping Block (BBOB) :
Bearish Overlapping Block (BBOB) :
🔵 How to Use
The overlap between Order Blocks and Breaker Blocks is a compelling and powerful concept that can help traders identify key levels on the chart with a high probability of success. This overlap is particularly valuable because it combines two well-regarded concepts in technical analysis—zones of high order volume and critical market shifts.
🟣 Here’s how to effectively use this overlap in your trading
1. Dentifying the Overlapping Block : To make the most of the overlap between Order Blocks and Breaker Blocks, begin by identifying these zones separately. Order Blocks are areas where price typically reacts and reverses after a strong market move.
Breaker Blocks are areas where a previous Order Block has been breached, and the price continues in the opposite direction. When these two zones overlap on a chart, it’s crucial to pay close attention to this area, as it represents a high-probability reaction zone.
2. Analyzing the Overlapping Block : After identifying the overlap zone, carefully analyze price action within this region. Candlestick patterns and price behavior can provide essential clues.
If the price reaches this overlap zone and strong reversal patterns such as Pin Bars or Engulfing patterns are observed, it’s likely that this zone will act as a pivotal reversal point. In such cases, entering a trade with confidence becomes more feasible.
3. Entering the Trade : When sufficient signs of price reaction are present in the overlap zone, you can proceed to enter the trade. If the overlap zone is within an uptrend and bullish reversal signals are evident, a long position might be appropriate.
Conversely, if the overlap zone is in a downtrend and bearish reversal signals are observed, a short position would be more suitable.
4. Risk Management : One of the most critical aspects of trading in overlap zones is managing risk. To protect your capital, place your stop loss near the lowest point of the Order Block (for buy trades) or the highest point (for sell trades). This approach minimizes potential losses if the overlap zone fails to hold.
5. Price Targets : After entering the trade, set your price targets based on other key levels on the chart. These targets could include other support and resistance zones, Fibonacci levels, or pivot points.
Bullish Overlapping Block :
Bearish Overlapping Block :
🟣 Benefits of the Overlapping Block Between Order Block and Breaker Block
1. Enhanced Precision in Identifying Key Levels : The overlap between these two zones usually acts as a highly reliable area for price reactions, increasing the accuracy of identifying entry and exit points.
2. Reduced Trading Risk : Given the high importance of the overlap zone, the likelihood of making incorrect decisions is reduced, contributing to overall lower trading risk.
3. Increased Probability of Success : The overlap between Order Blocks and Breaker Blocks combines two powerful concepts, enhancing the likelihood of success in trades, as multiple indicators confirm the importance of the area.
4. Creation of Better Trading Opportunities : Overlap zones often provide traders with more robust trading opportunities, as these areas typically represent strong reversal points in the market.
5. Compatibility with Other Technical Tools : This concept seamlessly integrates with other technical analysis tools such as Fibonacci retracements, trend lines, and chart patterns, offering a more comprehensive market analysis.
🔵 Setting
🟣 Global Setting
Pivot Period of Order Blocks Detector : Enter the desired pivot period to identify the Order Block.
Order Block Validity Period (Bar) : You can specify the maximum time the Order Block remains valid based on the number of candles from the origin.
Mitigation Level Order Block : Determining the basic level of a Order Block. When the price hits the basic level, the Order Block due to mitigation.
Mitigation Level Breaker Block : Determining the basic level of a Breaker Block. When the price hits the basic level, the Breaker Block due to mitigation.
Mitigation Level Overlapping Block : Determining the basic level of a Overlapping Block. When the price hits the basic level, the Overlapping Block due to mitigation.
🟣 Overlapping Block Display
Show All Overlapping Block : If it is turned off, only the last Order Block will be displayed.
Demand Overlapping Block : Show or not show and specify color.
Supply Overlapping Block : Show or not show and specify color.
🟣 Order Block Display
Show All Order Block : If it is turned off, only the last Order Block will be displayed.
Demand Main Order Block : Show or not show and specify color.
Demand Sub (Propulsion & BoS Origin) Order Block : Show or not show and specify color.
Supply Main Order Block : Show or not show and specify color.
Supply Sub (Propulsion & BoS Origin) Order Block : Show or not show and specify color.
🟣 Breaker Block Display
Show All Breaker Block : If it is turned off, only the last Breaker Block will be displayed.
Demand Main Breaker Block : Show or not show and specify color.
Demand Sub (Propulsion & BoS Origin) Breaker Block : Show or not show and specify color.
Supply Main Breaker Block : Show or not show and specify color.
Supply Sub (Propulsion & BoS Origin) Breaker Block : Show or not show and specify color.
🟣 Order Block Refinement
Refine Order Blocks : Enable or disable the refinement feature. Mode selection.
🟣 Alert
Alert Name : The name of the alert you receive.
Alert Overlapping Block Mitigation :
On / Off
Message Frequency :
This string parameter defines the announcement frequency. Choices include: "All" (activates the alert every time the function is called), "Once Per Bar" (activates the alert only on the first call within the bar), and "Once Per Bar Close" (the alert is activated only by a call at the last script execution of the real-time bar upon closing). The default setting is "Once per Bar".
Show Alert Time by Time Zone :
The date, hour, and minute you receive in alert messages can be based on any time zone you choose. For example, if you want New York time, you should enter "UTC-4". This input is set to the time zone "UTC" by default.
🔵 Conclusion
The overlap between Order Blocks and Breaker Blocks represents a critical and powerful area in technical analysis that can serve as an effective tool for determining entry and exit points in trading.
These zones, due to the combination of two key concepts in technical analysis, hold significant importance and can help traders make more confident trading decisions.
Although this concept is not specifically discussed in the ICT framework and is introduced as a new idea, traders can achieve better results in their trades through practice and testing.
Utilizing the overlap between Order Blocks and Breaker Blocks, in conjunction with other technical analysis tools, can significantly improve the chances of success in trading.
Order Block Overlapping Drawing [TradingFinder]🔵 Introduction
Technical analysis is a fundamental tool in financial markets, helping traders identify key areas on price charts to make informed trading decisions. The ICT (Inner Circle Trader) style, developed by Michael Huddleston, is one of the most advanced methods in this field.
It enables traders to precisely identify and exploit critical zones such as Order Blocks, Breaker Blocks, Fair Value Gaps (FVGs), and Inversion Fair Value Gaps (IFVGs).
To streamline and simplify the use of these key areas, a library has been developed in Pine Script, the scripting language for the TradingView platform. This library allows you to automatically detect overlapping zones between Order Blocks and other similar areas, and visually display them on your chart.
This tool is particularly useful for creating indicators like Balanced Price Range (BPR) and ICT Unicorn Model.
🔵 How to Use
This section explains how to use the Pine Script library. This library assists you in easily identifying and analyzing overlapping areas between Order Blocks and other zones, such as Breaker Blocks and Fair Value Gaps.
To add "Order Block Overlapping Drawing", you must first add the following code to your script.
import TFlab/OrderBlockOverlappingDrawing/1
🟣 Inputs
The library includes the "OBOverlappingDrawing" function, which you can use to detect and display overlapping zones. This function identifies and draws overlapping zones based on the Order Block type, trigger conditions, previous and current prices, and other relevant parameters.
🟣 Parameters
OBOverlappingDrawing(OBType , TriggerConditionOrigin, distalPrice_Pre, proximalPrice_Pre , distalPrice_Curr, proximalPrice_Curr, Index_Curr , OBValidGlobal, OBValidDis, MitigationLvL, ShowAll, Show, ColorZone) =>
OBType (string)
TriggerConditionOrigin (bool)
distalPrice_Pre (float)
proximalPrice_Pre (float)
distalPrice_Curr (float)
proximalPrice_Curr (float)
Index_Curr (int)
OBValidGlobal (bool)
OBValidDis (int)
MitigationLvL (string)
ShowAll (bool)
Show (bool)
ColorZone (color)
In this example, various parameters are defined to detect overlapping zones and draw them on the chart. Based on these settings, the overlapping areas will be automatically drawn on the chart.
OBType : All order blocks are summarized into two types: "Supply" and "Demand." You should input your Current order block type in this parameter. Enter "Demand" for drawing demand zones and "Supply" for drawing supply zones.
TriggerConditionOrigin : Input the condition under which you want the Current order block to be drawn in this parameter.
distalPrice_Pre : Generally, if each zone is formed by two lines, the farthest line from the price is termed Pervious "Distal." This input receives the price of the "Distal" line.
proximalPrice_Pre : Generally, if each zone is formed by two lines, the nearest line to the price is termed Previous "Proximal" line.
distalPrice_Curr : Generally, if each zone is formed by two lines, the farthest line from the price is termed Current "Distal." This input receives the price of the "Distal" line.
proximalPrice_Curr : Generally, if each zone is formed by two lines, the nearest line to the price is termed Current "Proximal" line.
Index_Curr : This input receives the value of the "bar_index" at the beginning of the order block. You should store the "bar_index" value at the occurrence of the condition for the Current order block to be drawn and input it here.
OBValidGlobal : This parameter is a boolean in which you can enter the condition that you want to execute to stop drawing the block order. If you do not have a special condition, you should set it to True.
OBValidDis : Order blocks continue to be drawn until a new order block is drawn or the order block is "Mitigate." You can specify how many candles after their initiation order blocks should continue. If you want no limitation, enter the number 4998.
MitigationLvL : This parameter is a string. Its inputs are one of "Proximal", "Distal" or "50 % OB" modes, which you can enter according to your needs. The "50 % OB" line is the middle line between distal and proximal.
ShowAll : This is a boolean parameter, if it is "true" the entire order of blocks will be displayed, and if it is "false" only the last block order will be displayed.
Show : You may need to manage whether to display or hide order blocks. When this input is "On", order blocks are displayed, and when it's "Off", order blocks are not displayed.
ColorZone : You can input your preferred color for drawing order blocks.
🟣 Output
Mitigation Alerts : This library allows you to leverage Mitigation Alerts to detect specific conditions that could lead to trend reversals. These alerts help you react promptly in your trades, ensuring better management of market shifts.
🔵 Conclusion
The Pine Script library provided is a powerful tool for technical analysis, especially in the ICT style. It enables you to detect overlapping zones between Order Blocks and other significant areas like Breaker Blocks and Fair Value Gaps, improving your trading strategies. By utilizing this tool, you can perform more precise analysis and manage risks effectively in your trades.
Pure Price Action Order & Breaker Blocks [LuxAlgo]The Pure Price Action Order & Breaker Blocks indicator is a pure price action adaptation of our previously published and highly popular Order-Blocks-Breaker-Blocks script.
Similar to its earlier version, this indicator detects order blocks that can automatically turn into breaker blocks on the chart once mitigated. However, the key difference/uniqueness is that the pure price action version relies solely on price patterns, eliminating the need for length definitions. In other words, it removes the limitation of user-defined inputs, ensuring a robust and objective analysis of market dynamics.
🔶 USAGE
An order block is a significant area on a price chart where there was a notable accumulation or distribution of orders, often identified by a strong price move followed by consolidation. Traders use order blocks to identify potential support or resistance levels.
A mitigated order block refers to an order block that has been invalidated due to subsequent market movements. It may no longer hold the same significance in the current market context. However, when the price mitigates an order block, a breaker block is confirmed. It is possible that the price might trade back to this breaker block, potentially offering a new trading opportunity.
Users can optionally enable the "Historical Polarity Changes" labels within the settings menu to see where breaker blocks might have previously provided effective trade setups.
This feature is most effective when using replay mode. Please note that these labels are subject to backpainting.
🔶 DETAILS
The swing points detection feature relies exclusively on price action, eliminating the need for numerical user-defined settings.
The first step involves detecting short-term swing points, where a short-term swing high (STH) is identified as a price peak surrounded by lower highs on both sides. Similarly, a short-term swing low is recognized as a price trough surrounded by higher lows on both sides.
Intermediate-term swing and long-term swing points are detected using the same approach but with a slight modification. Instead of directly analyzing price candles, we now utilize the previously detected short-term swing points. For intermediate-term swing points, we rely on short-term swing points, while for long-term swing points, we use the intermediate-term ones.
🔶 SETTINGS
Detection: Market structure used to detect swing points for creating order blocks.
Show Last Bullish OB: Number of the most recent bullish order/breaker blocks to display on the chart.
Show Last Bearish OB: Number of the most recent bearish order/breaker blocks to display on the chart.
Use Candle Body: Allows users to use candle bodies as order block areas instead of the full candle range.
🔹 Style
Show Historical Polarity Changes: Allows users to see labels indicating where a swing high/low previously occurred within a breaker block.
🔶 RELATED SCRIPTS
Pure-Price-Action-Structures.
Order-Blocks-Breaker-Blocks.
Order Blocks & Breaker Blocks [TradingFinder] Signals + Alerts🔵 Introduction
Order Block and Breaker Block, are powerful tools in technical analysis. By understanding these concepts, traders can enhance their ability to predict potential price reversals and continuations, leading to more effective trading strategies.
Using historical price action, volume analysis, and candlestick patterns, traders can identify key areas where institutional activities influence market movements.
🟣 Demand Order Block and Supply Breaker Block
Demand Order Block : A Demand Order Block is formed when the price succeeds in breaking the previous high pivot.
Supply Breaker Block : A Supply Breaker Block is formed when the price succeeds in breaking the Demand Order Block. As a result, the Order Block changes its role and turns from the role of price support to resistance.
🟣 Supply Order Block and Demand Breaker Block
Supply Order Block : A Supply Order Block is formed when the price succeeds in breaking the previous low pivot.
Demand Breaker Block : A Demand Breaker Block is formed when the price succeeds in breaking the Supply Order Block. As a result, the Order Block changes its role and turns from the role of price resistance to support.
🔵 How to Use
🟣 Order Blocks (Supply and Demand)
Order blocks are zones where the likelihood of a price reversal is higher. In demand zones, buying opportunities arise, while in supply zones, selling opportunities can be explored.
The "Refinement" feature allows you to adjust the width of the order block to fit your trading strategy. There are two modes in the "Order Block Refine" feature: "Aggressive" and "Defensive." The primary difference between these modes is the width of the order block.
For risk-averse traders, the "Defensive" mode is ideal as it offers a lower loss limit and a higher reward-to-risk ratio.
Conversely, for traders who are willing to take more risks, the "Aggressive" mode is more suitable. This mode, with its wider order block width, caters to those who prefer entering trades at higher prices.
🟣 Breaker Blocks (Supply and Demand)
Trading based on breaker blocks is the same as order blocks and the price in these zones is likely to be reversed.
🔵 Setting
🟣 Global Setting
Pivot Period of Order Blocks Detector : Enter the desired pivot period to identify the Order Block.
Order Block Validity Period (Bar) : You can specify the maximum time the Order Block remains valid based on the number of candles from the origin.
Mitigation Level Order Block : Determining the basic level of a Order Block. When the price hits the basic level, the Order Block due to mitigation.
Mitigation Level Breaker Block : Determining the basic level of a Breaker Block. When the price hits the basic level, the Breaker Block due to mitigation.
Switching Colors Theme Mode : Three modes "Off", "Light" and "Dark" are included in this parameter. "Light" mode is for color adjustment for use in "Light Mode".
"Dark" mode is for color adjustment for use in "Dark Mode" and "Off" mode turns off the color adjustment function and the input color to the function is the same as the output color.
🟣 Order Block Display
Show All Order Block : If it is turned off, only the last Order Block will be displayed.
Demand Main Order Block : Show or not show and specify color.
Demand Sub (Propulsion & BoS Origin) Order Block : Show or not show and specify color.
Supply Main Order Block : Show or not show and specify color.
Supply Sub (Propulsion & BoS Origin) Order Block : Show or not show and specify color.
🟣 Breaker Block Display
Show All Breaker Block : If it is turned off, only the last Breaker Block will be displayed.
Demand Main Breaker Block : Show or not show and specify color.
Demand Sub (Propulsion & BoS Origin) Breaker Block : Show or not show and specify color.
Supply Main Breaker Block : Show or not show and specify color.
Supply Sub (Propulsion & BoS Origin) Breaker Block : Show or not show and specify color.
🟣 Order Block Refinement
Refine Order Blocks : Enable or disable the refinement feature. Mode selection.
🟣 Alert
Alert Name : The name of the alert you receive.
Alert Demand OB Mitigation :
On / Off
Alert Demand BB Mitigation :
On / Off
Alert Supply OB Mitigation :
On / Off
Alert Supply BB Mitigation :
On / Off
Message Frequency :
This string parameter defines the announcement frequency. Choices include: "All" (activates the alert every time the function is called), "Once Per Bar" (activates the alert only on the first call within the bar), and "Once Per Bar Close" (the alert is activated only by a call at the last script execution of the real-time bar upon closing). The default setting is "Once per Bar".
Show Alert Time by Time Zone :
The date, hour, and minute you receive in alert messages can be based on any time zone you choose. For example, if you want New York time, you should enter "UTC-4". This input is set to the time zone "UTC" by default.
Display More Info :
Displays information about the price range of the order blocks (Zone Price) and the date, hour, and minute under "Display More Info".
If you do not want this information to appear in the received message along with the alert, you should set it to "Off".
Volume Breaker Blocks [UAlgo]The "Volume Breaker Blocks " indicator is designed to identify breaker blocks in the market based on volume and price action. It is a concept that emerges when an order block fails, leading to a change in market structure. It signifies a pivotal point where the market shifts direction, offering traders opportunities to enter trades based on anticipated trend continuation.
🔶 Key Features
Identifying Breaker Blocks: The indicator identifies breaker blocks by detecting pivot points in price action and corresponding volume spikes.
Breaker Block Sensitivity: Traders can adjust breaker block detection sensitivity, length to be used to find pivot points.
Mitigation Method (Close or Wick): Traders can choose between "Close" and "Wick" as the mitigation method. This choice determines whether the indicator considers closing prices or wicks in identifying breaker blocks. Selecting "Close" implies that breaker blocks will be considered broken when the closing price violates the block, while selecting "Wick" implies that the wick of the candle must violate the block for it to be considered broken.
Show Last X Breaker Blocks: Users can specify how many of the most recent breaker blocks to display on the chart.
Visualization: Volume breaker blocks are visually represented on the chart with customizable colors and text labels, allowing for easy interpretation of market conditions. Each breaker block is accompanied by informational text, including whether it's bullish or bearish and the corresponding volume, aiding traders in understanding the significance of each block.
🔶 Disclaimer
Educational Purpose: The "Volume Breaker Blocks " indicator is provided for educational and informational purposes only. It does not constitute financial advice or a recommendation to engage in trading activities.
Risk of Loss: Trading in financial markets involves inherent risks, including the risk of loss of capital. Users should carefully consider their financial situation, risk tolerance, and investment objectives before engaging in trading activities.
Accuracy Not Guaranteed: While the indicator aims to identify potential reversal points in the market, its accuracy and effectiveness may vary. Users should conduct thorough testing and analysis before relying solely on the indicator for trading decisions.
Past Performance: Past performance is not indicative of future results. Historical data and backtesting results may not accurately reflect actual market conditions or future performance.
ICT Immediate Rebalance Toolkit [LuxAlgo]The ICT Immediate Rebalance Toolkit is a comprehensive suite of tools crafted to aid traders in pinpointing crucial trading zones and patterns within the market.
The ICT Immediate Rebalance, although frequently overlooked, emerges as one of ICT's most influential concepts, particularly when considered within a specific context. The toolkit integrates commonly used price action tools to be utilized in conjunction with the Immediate Rebalance patterns, enriching the capacity to discern context for improved trading decisions.
The ICT Immediate Rebalance Toolkit encompasses the following Price Action components:
ICT Immediate Rebalance
Buyside/Sellside Liquidity
Order Blocks & Breaker Blocks
Liquidity Voids
ICT Macros
🔶 USAGE
🔹 ICT Immediate Rebalance
What is an Immediate Rebalance?
Immediate rebalances, a concept taught by ICT, hold significant importance in decision-making. To comprehend the concept of immediate rebalance, it's essential to grasp the notion of the fair value gap. A fair value gap arises from market inefficiencies or imbalances, whereas an immediate rebalance leaves no gap, no inefficiencies, or no imbalances that the price would need to return to.
Rule of Thumb
After an immediate rebalance, the expectation is for two extension candles to follow; otherwise, the immediate rebalance is considered failed. It's important to highlight that both failed and successful immediate rebalances, when considered within a context, are significant signatures in trading.
Immediate rebalances can occur anywhere and in any timeframe.
🔹 Buyside/Sellside Liquidity
In the context of Inner Circle Trader's teachings, liquidity primarily refers to the presence of stop losses or pending orders, that indicate concentrations of buy or sell orders at specific price levels. Institutional traders, like banks and large financial entities, frequently aim for these liquidity levels or pools to accumulate or distribute their positions.
Buyside liquidity denotes a chart level where short sellers typically position their stops, while Sellside liquidity indicates a level where long-biased traders usually place their stops. These zones often serve as support or resistance levels, presenting potential trading opportunities.
The presentation applied here is the multi-timeframe version of our previously published Buyside-Sellside-Liquidity script.
🔹 Order Blocks & Breaker Blocks
Order Blocks and Breaker Blocks hold significant importance in technical analysis and play a crucial role in shaping market behavior.
Order blocks are fundamental elements of price action analysis used by traders to identify key levels in the market where significant buying or selling activity has occurred. These blocks represent areas on a price chart where institutional traders, banks, or large market participants have placed substantial buy or sell orders, leading to a temporary imbalance in supply and demand.
Breaker blocks, also known as liquidity clusters or pools, complement order blocks by identifying zones where liquidity is concentrated on the price chart. These areas, formed from mitigated order blocks, often act as significant barriers to price movement, potentially leading to price stalls or reversals in the future.
🔹 Liquidity Voids
Liquidity voids are sudden price changes when the price jumps from one level to another. Liquidity voids will appear as a single or a group of candles that are all positioned in the same direction. These candles typically have large real bodies and very short wicks, suggesting very little disagreement between buyers and sellers.
Here is our previously released Liquidity-Voids script.
🔹 ICT Macros
In the context of ICT's teachings, a macro is a small program or set of instructions that unfolds within an algorithm, which influences price movements in the market. These macros operate at specific times and can be related to price runs from one level to another or certain market behaviors during specific time intervals. They help traders anticipate market movements and potential setups during specific time intervals.
Here is our previously released ICT-Macros script.
🔶 SETTINGS
🔹 Immediate Rebalances
Immediate Rebalances: toggles the visibility of the detected immediate rebalance patterns.
Bullish, and Bearish Immediate Rebalances: color customization options.
Wicks 75%, %50, and %25: color customization options of the wick price levels for the detected immediate rebalance.
Ignore Price Gaps: ignores price gaps during calculation.
Confirmation (Bars): specifies the number of bars required to confirm the validation of the detected immediate rebalance.
Immediate Rebalance Icon: allows customization of the size of the icon used to represent the immediate rebalance.
🔹 Buyside/Sellside Liquidity
Buyside/Sellside Liquidity: toggles the visibility of the buy-side/sell-side liquidity levels.
Timeframe: this option is to identify liquidity levels from higher timeframes. If a timeframe lower than the chart's timeframe is selected, calculations will be based on the chart's timeframe.
Detection Length: lookback period used for the detection.
Margin: sets margin/sensitivity for the liquidity levels.
Buyside/Sellside Liquidity Color: color customization option for buy-side/sell-side liquidity levels.
Visible Liquidity Levels: allows customization of the visible buy-side/sell-side liquidity levels.
🔹 Order Blocks & Breaker Blocks
Order Blocks: toggles the visibility of the order blocks.
Breaker Blocks: toggles the visibility of the breaker blocks.
Swing Detection Length: lookback period used for the detection of the swing points used to create order blocks & breaker blocks.
Mitigation Price: allows users to select between the closing price or the wick of the candle.
Use Candle Body in Detection: allows users to use candle bodies as order block areas instead of the full candle range.
Remove Mitigated Order Blocks & Breaker Blocks: toggles the visibility of the mitigated order blocks & breaker blocks.
Order Blocks: Bullish, Bearish Color: color customization option for order blocks.
Breaker Blocks: Bullish, Bearish Color: color customization option for breaker blocks.
Visible Order & Breaker Blocks: allows customization of the visible order & breaker blocks.
Show Order Blocks & Breaker Blocks Labels: toggles the visibility of the order blocks & breaker blocks labels.
🔹 Liquidity Voids
Liquidity Voids: toggles the visibility of the liquidity voids.
Liquidity Voids Width Filter: filtering threshold while detecting liquidity voids.
Ignore Price Gaps: ignores price gaps during calculation.
Remove Mitigated Liquidity Voids: remove mitigated liquidity voids.
Bullish, Bearish, and Mitigated Liquidity Voids: color customization option..
Liquidity Void Labels: toggles the visibility of the liquidity voids labels.
🔹 ICT Macros
London and New York (AM, Launch, and PM): toggles the visibility of specific macros, allowing users to customize macro colors.
Macro Top/Bottom Lines, Extend: toggles the visibility of the macro's pivot high/low lines and allows users to extend the pivot lines.
Macro Mean Line: toggles the visibility of the macro's mean (average) line.
Macro Labels: toggles the visibility of the macro labels, allowing customization of the label size.
🔶 RELATED SCRIPTS
ICT-Killzones-Toolkit
Smart-Money-Concepts
Thanks to our community for recommending this script. For more conceptual scripts and related content, we welcome you to explore by visiting >>> LuxAlgo-Scripts .
PAT Screener | Flux Charts💎 GENERAL OVERVIEW
Introducing our new Price Action Toolkit (PAT) Screener! This screener can spot trading opportunities that Price Action Toolkit offers across 8 different tickers! We believe that this screener will help you take a glimpse of the current state of the market much easier.
Features of the new Price Action Toolkit (PAT) Screener :
Finds Latest Across 8 Tickers:
Order Blocks
Breaker Blocks
Fair Value Gaps (FVG)
Inversion FVGs
Market Structures (BOS, CHoCH, CHoCH+)
Liquidity Zones
Liquidity Grabs
Premium / Discount Zones
Shows Additional Information Like :
Strength
Retests
(Bullish & Bearish) Volume
Consumption
Also :
All Features Support Tuning
Customizable Theme
📌 HOW DOES IT WORK ?
1. Order Blocks
Order blocks occur when there is a high amount of market orders exist on a price range. It is possible to find order blocks using specific formations on the chart.
The high & low volume of order blocks should be taken into consideration while determining their strengths. The determination of the high & low volume of order blocks are similar to FVGs, in a bullish order block, the high volume is the last 2 bars' total volume, while the low volume is the oldest bar's volume. In a bearish order block scenario, the low volume becomes the last 2 bars' total volume.
2. Breaker Blocks
Breaker blocks form when an order block fails, or "breaks". It is often associated with market going in the opposite direction of the broken order block, and they can be spotted by following order blocks and finding the point they get broken, i.e. price goes below a bullish order block.
The volume of a breaker block is simply the total volume of the bar that the original order block is broken. Often the higher the breaking bar's volume, the stronger the breaker block is.
The strength of Order & Breaker Blocks are calculated by the size of the block to the Average True Range (ATR) of the chart.
3. Fair Value Gaps
Fair value gaps often occur when there is an imbalance in the market, and can be spotted with a specific formation on the chart.
The volume when the FVG occurs plays an important role when determining the strength of it, so we've placed two bars on the FVG zone, indicating the high & low volumes of the FVG. The high volume is the total volume of the last two bars on a bullish FVG, while the low volume is - of the FVG. For a bearish FVG, the total volume of the last two bars is the low volume. The indicator can also detect FVGs that exist in other timeframes than the current chart.
4. Inversion Fair Value Gaps
A Fair Value Gap generally occur when there is an imbalance in the market. They can be detected by specific formations within the chart. An Inverse Fair Value Gap is when a FVG becomes invalidated, thus reversing the direction of the FVG.
IFVGs get consumed when a Close / Wick enters the IFVG zone. Check this example:
5. Market Structures
Sometimes specific market structures form and break as the market fills buy & sell orders. Formed Change of Character (CHoCH) and Break of Structure (BOS) often mean that market will change direction, and they can be spotted by inspecting low & high pivot points of the chart.
The number of times the chart recently had a BOS is displayed between brackets, Ex : (3)
6. Liquidity Zones
Buyside & Sellside Liquidity zones are where most traders place their take-profits and stop-losses in their long / short positions. They are spotted by using high & low pivot points on the chart.
7. Liquidity Grabs
Liquidity grabs occur when one of the latest pivots has a false breakout. Then, if the wick to body ratio of the bar is higher than 0.5 (can be changed from the settings) a liquidity grab has occurred.
8. Premium & Discount Zones
The premium zone is a zone that is over the fair value of the asset's price, and the discount zone is the opposite. They are formed by the latest high & low pivot points.
If the latest close price is outside the Premium or Discount zone, you will see "Premium ⬆️" or "Discount ⬇️". These mean that the price is currently higher than the premium zone or lower than the discount zone.
🚩UNIQUENESS
This screener offers a comprehensive dashboard for traders, combining multiple analytical elements with customizable settings to aid in decision-making across different tickers and timeframes. We believe that this will help traders spot trading opportunities much easier by providing crucial information in a single dashboard. Our new screener contains of common elements like Order & Breaker Blocks, Fair Value Gaps & IFVGs as well as rather unique elements like Liquidity Grabs . With the use of up to 8 tickers & timeframes , you can easily take a look at the bigger picture of the market. We recommend reading the "How Does It Work" section of the description to get a better understanding about how this indicator is unique to others.
⚙️SETTINGS
1. Tickers
You can set up to 8 tickers for the screener to scan here. You can also enable / disable them and set their individual timeframes.
You can enable / disable Retests, Strength, Consumption and (Bullish & Bearish) Volume for :
Order Blocks (Retests, Strength, Bullish & Bearish Volume)
Breaker Blocks (Retests, Strength, Volume)
Fair Value Gaps (Retests, Consumption, Strength, Bullish & Bearish Volume)
Inversion Fair Value Gaps (Retests, Consumption, Strength, Volume)
2. Order Blocks
Enabled -> Enables / Disables Order Blocks
Zone Invalidation -> Select between Wick & Close price for Order Block Invalidation.
Swing Length -> Swing length is used when finding order block formations. Smaller values will result in finding smaller order blocks.
3. Breaker Blocks
Enabled -> Enables / Disables Breaker Blocks
Zone Invalidation -> Select between Wick & Close price for Breaker Block Invalidation.
4. Fair Value Gaps
Enabled -> Enables / Disables Fair Value Gaps
Zone Invalidation -> Select between Wick & Close price for FVG Zone Invalidation.
Zone Filtering -> With "Average Range" selected, algorithm will find FVG zones in comparison with average range of last bars in the chart. With the "Volume Threshold" option, you may select a Volume Threshold % to spot FVGs with a larger total volume than average.
FVG Detection -> With the "Same Type" option, all 3 bars that formed the FVG should be the same type. (Bullish / Bearish). If the "All" option is selected, bar types may vary between Bullish / Bearish.
Detection Sensitivity -> You may select between Low, Normal or High FVG detection sensitivity. This will essentially determine the size of the spotted FVGs, with lower sensitivities resulting in spotting bigger FVGs, and higher sensitivities resulting in spotting all sizes of FVGs.
5. Inversion Fair Value Gaps
Zone Invalidation -> Select between Wick & Close price for IFVG Zone Invalidation. This setting also switches the type for IFVG consumption.
6. Market Structures
Break Of Structure (BOS) -> If the current structure of the market is broken in a bullish or bearish direction, it will be displayed.
Change Of Character (CHoCH) -> If the market shifts into another direction, it will be displayed.
Change Of Character+ (CHoCH+) -> This will display Change Of Characters detected with higher sensitivity if enabled.
7. Liquidity Zones
Buyside Liquidity -> Enables / Disables Buyside Liquidity
Sellside Liquidity -> Enables / Disables Sellside Liquidity
8. Liquidity Grabs
Pivot Length -> This setting determines the range of the pivots. This means a candle has to have the highest / lowest wick of the previous X bars and the next X bars to become a high / low pivot.
Wick-Body Ratio -> After a pivot has a false breakout, the wick-body ratio of the latest candle is tested. The resulting ratio must be higher than this setting for it to be considered as a liquidity grab.
9. Premium & Discount Zones
Enabled -> Enables / Disables Premium & Discount Zones.
10. Style
You can customize the visual looks of the screener here.
Breaker Blocks Screener | Flux Charts💎 GENERAL OVERVIEW
Introducing our new Breaker Blocks Screener! This screener can provide information about the latest breaker blocks in up to 5 tickers. You can also customize the algorithm that finds the breaker blocks and the styling of the screener.
Features of the new Breaker Blocks Screener :
Find Latest Breaker Blocks Accross 5 Tickers
Latest Status, Restests & Volume
Customizable Algoritm / Styling
📌 HOW DOES IT WORK ?
Breaker blocks form when an order block fails, or "breaks". It is often associated with market going in the opposite direction of the broken order block, and they can be spotted by following order blocks and finding the point they get broken, ie. price goes below a bullish order block.
The volume of a breaker block is simply the total volume of the bar that the original order block is broken. Often the higher the breaking bar's volume, the stronger the breaker block is.
This screener then finds breaker blocks accross 5 different tickers, and shows the latest information about them.
Status ->
Far -> The current price is far away from the breaker block.
Approaching ⬆️/⬇️ -> The current price is approaching the breaker block, and the direction it's approaching from.
Inside -> The price is currently inside the breaker block.
Retests -> Retest means the price to invalidate the breaker block, but failed to do so. Here you can see how many times the price retested the breaker block.
For the volume, check the top of the "How Does It Work" section.
🚩UNIQUENESS
This screener can detect latest breaker blocks and give information about them for up to 5 tickers. This saves the user time by showing them all in a dashboard at the same time. The screener shows the number of the retests of the breaker block as an unique trait. Another unique ability of the screener is that it shows the latest valid breaker block's volume in the dashboard.
⚙️SETTINGS
1. Tickers
You can set up to 5 tickers for the screener to scan breaker blocks here. You can also enable / disable them and set their individual timeframes.
2. General Configuration
Zone Invalidations -> Select between Wick & Close price for Order & Breaker Block Invalidation.
Swing Length -> Swing length is used when finding order block formations. Smaller values will result in finding smaller order blocks.
ICT Killzones Toolkit [LuxAlgo]The ICT Killzones Toolkit is a comprehensive set of tools designed to assist traders in identifying key trading zones and patterns within the market.
The ICT Killzones Toolkit includes the following Price Action components:
ICT Killzones with Pivot Highs/Lows
Order Blocks
Breaker Blocks
Fair Value Gaps
Market Structure Shifts
By combining these components, the ICT Killzones Toolkit provides traders with a comprehensive framework for analyzing the market and identifying setups of interest. Leveraging these tools effectively can enhance traders' decision-making process and improve killzones interpretability.
🔶 USAGE
In forex/futures trading, timing is crucial. ICT Killzone are specific periods when there's a higher chance of finding setups of interest. Mastering these time intervals can offer significant advantages to traders who know how to use them effectively.
The image above highlights a potential setup of interest when using the ICT Killzones Toolkit.
As another example for utilizing the ICT Killzones Toolkit, we can see in the image above when price retests setups generated from killzones such as Order Blocks or Fair Value Gaps, a potential strategy could be to look for entries on those & take profits as the next killzone appears.
🔹 Order Blocks
Order Blocks are sections on a price chart where notable buying or selling activity has occured, often signaling interest zones for institutional traders. This toolkit's Order Blocks component pinpoints these areas within the Killzone, which may act as potential support or resistance levels.
🔹 Breaker Blocks
Breaker Blocks are zones built from mitigated order blocks, and highlight zones on the chart where price has previously stalled or reversed. These areas may act as significant barriers to price movement in the future, and the Breaker Blocks component helps traders identify them for potential trading opportunities.
🔹 Fair Value Gaps
Fair value gaps are especially favored by price action traders and arise from market inefficiencies or imbalances, typically when buying and selling are unequal. These gaps often attract price movement before resuming in the same direction. the Fair Value Gaps component of the toolkit helps traders identify and analyze them.
🔹 Market Structure Shifts
Market Structure Shifts refer to significant changes in the overall structure of the market, such as shifts in trend direction, volatility, or trading activity. These shifts can provide valuable insights into market sentiment and potential trading opportunities, and the Market Structure Shifts component helps traders identify and interpret them.
Overall, the ICT Killzone Toolkit combines these components to provide traders with a comprehensive framework for analyzing the markets and identifying high-probability trading setups.
🔶 SETTINGS
🔹 ICT Killzones
Asian, London Open, New York, and London Close: toggles the visibility of specific Killzones, allowing users to customize time periods and Killzone colors.
Killzone Lines : Top/Bottom, Mean and Extend Top/Bottom: toggles the visibility of the Killzone's pivot high and low lines, mean (average) line, and allows users to extend the pivot lines.
Killzone Labels: Toggles the visibility of the Killzone labels.
Display Killzones within Timeframes Up To: Toggles the visibility of the Killzones up to selected Timeframes.
Open Price, Separator, Label, and Color: toggles the visibility of the open price of the Killzones or for the day, week, or month. If the day, week, or month is selected, a separator will be displayed to highlight the beginning of each respective period. Additionally, users can customize the color and toggle the label as needed.
🔹 Order Blocks & Breaker Blocks
Order Blocks | Breaker Blocks: toggles the visibility of the order blocks & breaker blocks.
Swing Detection Length: lookback period used for the detection of the swing points used to create order blocks & breaker blocks.
Mitigation Price: allows users to select between closing price or wick of the candle.
Use Candle Body in Detection: allows users to use candle bodies as order block areas instead of the full candle range.
Remove Mitigated Order Blocks & Breaker Blocks: toggles the visibility of the mitigated order blocks & breaker blocks.
Extend Order Blocks & Breaker Blocks: enables processing of the order blocks & breaker blocks beyond the boundaries of the killzones.
Display Order Blocks & Breaker Blocks: enables the display of the first, last, or all occurrences of the order blocks & breaker blocks.
Order Blocks : Bullish, Bearish Color: color customization option for order blocks.
Breaker Blocks : Bullish, Bearish Color: color customization option for breaker blocks.
Show Order Blocks & Breaker Blocks Text: toggles the visibility of the order blocks & breaker blocks labels.
🔹 Market Structure Shifts
Market Structure Shifts: toggles the visibility of the market structure shifts.
Detection Length: market structure shift detection length.
Display Market Structure Shifts: enables the display of the first, last, or all occurrences of the market structure shifts.
Market Structure Shifts : Bullish, Bearish Color: color custumization option for market structure shifts.
Show Market Structure Shifts Text: toggles the visibility of the market structure shifts labels.
🔹 Fair Value Gaps
Fair Value Gaps: toggles the visibility of the fair value gaps.
Fair Value Gap Width Filter: filtering threshold wile detecting fair value gaps.
Remove Mitigated Fair Value Gaps: removes mitigated fair value gaps.
Extend Fair Value Gaps: enables processing of the fair value gaps beyond the boundaries of the killzones.
Display Fair Value Gaps: enables the display of the first, last, or all occurrences of the fair value gaps.
Bullish Imbalance Color: color customization option.
Bearish Imbalance Color: color customization option.
Show Fair Value Gaps Text: toggles the visibility of the fair value gaps labels.
🔶 RELATED SCRIPTS
Smart-Money-Concepts
Order-Blocks-Breaker-Blocks
Thanks to our community for recommending this script. For more conceptual scripts and related content, we welcome you to explore by visiting >>> LuxAlgo-Scripts .
Implied Orderblock Breaker (Zeiierman)█ Overview
The Implied Order Block Breaker (Zeiierman) is a tool designed to identify enhanced order blocks with imbalances. These enhanced order blocks represent areas where there is a rapid price movement. Essentially, this indicator uses order blocks and suggests that a swift price movement away from these levels, breaking the current market structure, could indicate an area that the market has not correctly valued. This technique offers traders a unique method to identify potential market inefficiencies and imbalances, serving as a guide for potential price revisits.
The indicator doesn't scan for imbalances in the traditional sense — where there's an absence of trades between two price levels — but instead, it identifies quick movements away from key levels that suggest where an imbalance might exist. Relying on crossovers and cross-unders in conjunction with pivot points and examining the high/low within the same period provides an innovative method for traders to spot these potentially undervalued or overvalued areas in the market. These inferred imbalances can be crucial for traders looking for price levels where the market might make significant moves.
█ How It Works
Bullish
Crossover: The closing price of a bar crosses above a pivot high, which is an indication that buyers are in control and pushing the price upwards.
New Low Within Period: There is a lower low within the same period as the pivot high. This suggests that after setting a high, the market pulled back to set a new low, potentially leaving a price gap on the way up as the price quickly recovers.
Bearish
Crossunder: The closing price of a bar crosses under a pivot low, indicating that sellers are taking control and driving the price down.
New High Within Period: There is a higher high within the same period as the pivot low. This condition suggests that the market rallied to a new high before falling back below the pivot low, potentially leaving a gap on the way down.
█ How to Use
The enhanced order blocks are often revisited, and the price may aim to 'fill' the potential imbalance created by the rapid price movement, thereby presenting traders with potential entry or exit points. This approach aligns with the idea that imbalances are frequently revisited by the market, and when combined with the context of Order Blocks, it provides even more confluence.
Example
Here, if the price drops rapidly after setting a new high—crossing under the pivot low—it may skip over certain price levels, creating a 'gap' that signifies an area where the price might have been overvalued (imbalance), which the market may revisit for a potential price correction or revaluation.
█ Settings
Period: Determines the number of bars used for identifying pivot highs and lows. A higher value gives more significant but less frequent signals, while a lower value increases sensitivity but might give more false positives.
Pivot Surrounding: Specifies the number of candles to analyze around a pivot point. Increasing this value broadens the analysis range, potentially capturing more setups but possibly including less significant ones.
-----------------
Disclaimer
The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.
My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!
ICT Unicorn Model [LuxAlgo]The ICT Unicorn Model indicator highlights the presence of "unicorn" patterns on the user's chart which is derived from the lectures of "The Inner Circle Trader" (ICT) .
Detected patterns are followed by targets with a distance controlled by the user.
🔶 USAGE
At its core, the ICT Unicorn Model relies on two popular concepts, Fair Value Gaps and Breaker Blocks. This combination highlights a future area of support/resistance.
A Bullish Unicorn Pattern consists out of:
A Lower Low (LL), followed by a Higher High (HH)
A Fair Value Gap (FVG), overlapping the established Breaker Block
A successful re-test of the FVG which confirms the pattern.
A Bearish Unicorn Pattern consists of:
A Higher High (HH), followed by a Lower Low (LL)
A Fair Value Gap (FVG), overlapping the established Breaker Block
A successful re-test of the FVG which confirms the pattern
The pattern detection depends on detected swings, which can be controlled by the Swing setting. Using higher values of this setting will return longer-term breaker blocks.
🔹 Using Risk/Reward Targets
A confirmed Unicorn pattern will show a blue ( Target ) / grey ( Stop Loss) "Risk/Reward" areas (RR).
When the Stop Loss or Target is hit, a white line is shown on the concerned side.
The Risk/Reward ratio can be adjusted in the "Targets" settings.
🔹 Trailing Stop
As seen in the previous snapshots, besides the RR areas, this indicator also includes an optional Trailing Stop .
This can be helpful to lower your risk, by exiting earlier than if you would wait until the Stop Loss is hit.
This example shows a successful bullish and bearish Unicorn Pattern . In this scenario, the Trailing Stop could be used for partial Take Profit.
The goal of this publication is to show confirmed Unicorn Patterns . To increase the chance of success, it is important to evaluate the bigger picture & use this in confluence with your price action analysis. For example, look for potential areas of liquidity, consider this pattern only during certain market sessions, avoid trading during heavy impact news, &/or incorporate other aspects of technical analysis rather than just following this pattern blindly.
🔶 DETAILS
🔹 Combine
When disabled, all potential Unicorn Patterns will delete previous unconfirmed patterns:
Enabling Combine ensures the last Unicorn Patterns in the opposite direction will remain.
While the latter bullish pattern became invalid, another one formed.
The combination of the previous bearish pattern, and looking at the big picture, the bullish pattern did not have much chance to be successful.
While disabling 'combine' helps minimize clutter, enabling this feature can give a pattern more chance to hit the SL/Target level.
🔹 Mitigated FVG
Users can determine if a pattern becomes invalid due to a mitigated FVG, causing the pattern to be deleted.
🔹 New pattern detected
When a new pattern is detected, the previous unconfirmed pattern in the same direction (bullish - bullish or bearish - bearish) will be deleted. This will always be the case, whether "Combine' is enabled or disabled.
When the previous pattern was confirmed but no SL or Target level was hit, this pattern will stop updating.
🔶 SETTINGS
🔹 Unicorn
Swings: This sets the length of swings, used for the underlying ZigZag and Unicorn Patterns detection.
Bull: Enable/disable Bullish patterns, and set the color of FVG box and Trailing Stop .
Bear: Enable/disable Bearish patterns, and set the color of FVG box and Trailing Stop .
Combine: When enabled, patterns in opposite directions (bullish/bearish) can exist at the same time. disabling this feature tends to give less clutter. See the "Usage" section for more information.
🔹 Targets
Risk/Reward: Sets the Risk/Reward ratio.
Trailing Stop: Set the length of small swings, which is used for the Trailing Stop .
Breaker Blocks | Flux Charts💎 GENERAL OVERVIEW
Introducing our new Volumized Breaker Blocks indicator! This new indicator can render breaker blocks with their volumetric information. It's highly customizable with detection, invalidation and style settings.
Features of the new Volumized Breaker Block indicator :
Render Bullish & Bearish Breaker Blocks
Enable / Disable Volumetric Information
Enable / Disable Historic Zones
Visual Customizability
📌 HOW DOES IT WORK ?
Breaker blocks form when an order block fails, or "breaks". It is often associated with market going in the opposite direction of the broken order block, and they can be spotted by following order blocks and finding the point they get broken, ie. price goes below a bullish order block.
The volume of a breaker block is simply the total volume of the bar that the original order block is broken.
🚩UNIQUENESS
This indicator can not only detect breaker blocks, but it can also detect them with their volumetric information. Volumetric information can be crucial when considering an breaker block's strength, which can be a crucial form of confluence in certain trading strategies.
⚙️SETTINGS
1. General Configuration
Volumetric Info -> The volumetric information of the Breaker Blocks will be rendered if activated.
Zone Invalidation -> Select between Wick & Close price for Breaker Block Invalidation.
Swing Length -> Swing length is used when finding breaker block formations. Smaller values will result in finding smaller breaker blocks.
Price Action Toolkit | Flux Charts💎 GENERAL OVERVIEW
Introducing our new Price Action Toolkit indicator! Price Action Toolkit integrates key level strategy , traditional supply-demand analysis , and market structures to help traders in their decisions. Now with features that are available to use in multiple timeframes!
Features of the new Price Action Toolkit indicator :
Volumized Fair Value Gaps (FVGs)
Volumized Order & Breaker Blocks
Identification of Market Structures
Equal Highs & Lows
Buyside & Sellside Liquidity
Premium & Discount Zones
MTF Highs & Lows (Daily, Weekly, Monthly, Pre-Market)
Customizable Settings
📌 HOW DOES IT WORK ?
We believe that the analytical elements that are within this indicator work best when they co-exist with each other on the chart. Trading often requires taking multiple elements into consideration for better accuracy on market analysis. Thus, we combined some of the useful strategies in one indicator for ease of use.
1. Volumized Fair Value Gaps
Fair value gaps often occur when there is an imbalance in the market, and can be spotted with a specific formation on the chart.
The volume when the FVG occurs plays an important role when determining the strength of it, so we've placed two bars on the FVG zone, indicating the high & low volumes of the FVG. The high volume is the total volume of the last two bars on a bullish FVG, while the low volume is - of the FVG. For a bearish FVG, the total volume of the last two bars is the low volume. The indicator can also detect FVGs that exist in other timeframes than the current chart.
2. Volumized Order Blocks
Order blocks occur when there is a high amount of market orders exist on a price range. It is possible to find order blocks using specific formations on the chart.
The high & low volume of order blocks should be taken into consideration while determining their strengths. The determination of the high & low volume of order blocks are similar to FVGs, in a bullish order block, the high volume is the last 2 bars' total volume, while the low volume is the oldest bar's volume. In a bearish order block scenerio, the low volume becomes the last 2 bars' total volume.
3. Volumized Breaker Blocks
Breaker blocks form when an order block fails, or "breaks". It is often associated with market going in the opposite direction of the broken order block, and they can be spotted by following order blocks and finding the point they get broken, ie. price goes below a bullish order block.
The volume of a breaker block is simply the total volume of the bar that the original order block is broken. Often the higher the breaking bar's volume, the stronger the breaker block is.
4. Market Structures
Sometimes specific market structures form and break as the market fills buy & sell orders. Formed Change of Character (CHoCH) and Break of Structure (BOS) often mean that market will change direction, and they can be spotted by inspecting low & high pivot points of the chart.
5. Equal Highs & Lows
Equal Highs & Lows occur when there is a significant amount of difference between a candle's close price and it's high / low value, and it happens again in a specific range. EQH and EQL usually mean there is a resistance that blocks the price from going further up / down.
6. Buyside & Sellside Liquidity
Buyside & Sellside Liquidity zones are where most traders place their take-profits and stop-losses in their long / short positions. They are spotted by using high & low pivot points on the chart.
7. Premium & Discount Zones
The premium zone is a zone that is over the fair value of the asset's price, and the discount zone is the opposite. They are formed by the latest high & low pivot points.
8. MTF Highs / Lows
MTF Highs / Lows are actually pretty self-explanatory, you can enable / disable Daily, Weekly, Monthly & Pre-Market Highs and Lows.
🚩UNIQUENESS
Our new indicator offers a comprehensive toolkit for traders, combining multiple analytical elements with customizable settings to aid in decision-making across different market conditions and timeframes. The volumetric information of both FVGs and Order & Breaker Blocks will be present in your chart to serve you greater detail about them. The indicator also efficiently identifies market structures, liquidity zones and premium & discount zones to give you an insight about the current state of the market. And finally with the use of multiple timeframes , you can easily take a look at the bigger picture. We recommend reading the "How Does It Work" section of the descripton to get a better understanding about how this indicator is unique to others.
⚙️SETTINGS
1. General Configuration
Show Historic Zones -> This will show historic Fair Value Gaps, Order & Breaker Blocks and Sellside & Buyside liquidities which are expired.
2. Fair Value Gaps
Enabled -> Enables / Disables Fair Value Gaps
Volumetric Info -> The volumetric information of the FVG Zones will be rendered if activated.
Zone Invalidation -> Select between Wick & Close price for FVG Zone Invalidation.
Zone Filtering -> With "Average Range" selected, algorithm will find FVG zones in comparison with average range of last bars in the chart. With the "Volume Threshold" option, you may select a Volume Threshold % to spot FVGs with a larger total volume than average.
FVG Detection -> With the "Same Type" option, all 3 bars that formed the FVG should be the same type. (Bullish / Bearish). If the "All" option is selected, bar types may vary between Bullish / Bearish.
Detection Sensitivity -> You may select between Low, Normal or High FVG detection sensitivity. This will essentially determine the size of the spotted FVGs, with lower sensitivies resulting in spotting bigger FVGs, and higher sensitivies resulting in spotting all sizes of FVGs.
3. Order Blocks
Enabled -> Enables / Disables Order Blocks
Volumetric Info -> The volumetric information of the Order Blocks will be rendered if activated.
Zone Invalidation -> Select between Wick & Close price for Order Block Invalidation.
Swing Length -> Swing length is used when finding order block formations. Smaller values will result in finding smaller order blocks.
4. Breaker Blocks
Enabled -> Enables / Disables Breaker Blocks
Volumetric Info -> The volumetric information of the Breaker Blocks will be rendered if activated.
Zone Invalidation -> Select between Wick & Close price for Breaker Block Invalidation.
5. Timeframes
You can set and enable / disable up to 3 timeframes. Note that only higher timeframes than the current chart will work.
6. Market Structures
Break Of Structure ( BOS ) -> If the current structure of the market is broken in a bullish or bearish direction, it will be displayed.
Change Of Character ( CHoCH ) -> If the market shifts into another direction, it will be displayed.
Change Of Character+ ( CHoCH+ ) -> This will display stronger Change Of Characters if enabled.
7. Equal Highs & Lows
EQH -> Enables / Disables Equal Highs.
EQL -> Enables / Disables Equal Lows.
ATR Multiplier (0.1 - 1.0) -> Determines the maximum difference between highs / lows to be considered as equal. Lower values will result in more accurate results.
8. Buyside & Sellside Liquidity
Zone Width -> Determines the width of the liquidity zones, 1 = 0.025%, 2 = 0.05%, 3 = 0.1%.
9. Premium & Discount Zones
Enabled -> Enables / Disables Premium & Discount Zones.
10. MTF Highs / Lows
You can enable / disable Daily, Weekly, Monthly & Pre-Market Highs and Lows using this setting. You can also switch their line shapes between solid, dashed and dotted.
Breaker Blocks with Signals [LuxAlgo]The Breaker Blocks with Signals indicator aims to highlight a complete methodology based on breaker blocks. Breakout signals between the price and breaker blocks are highlighted and premium/discount swing levels are included to provide potential take profit/stop loss levels.
This script also includes alerts for each signal highlighted.
🔶 SETTINGS
🔹 Breaker Blocks
Length: Sensitivity of the detected swings used to construct breaker blocks. Higher values will return longer term breaker blocks.
Use only candle body: Only use the candle body when determining the maximum/minimum extremities of the order blocks.
Use 2 candles instead of 1: Use two candles to confirm the occurrence of a breaker block.
Stop at first break of center line: Do not highlight breakout signals after invalidation until reset.
🔹 PD Array
Only when E is in premium/discount zone: Only set breaker block if point E of wave ABCDE is within the corresponding zone.
Show premium discount zone: Show premium/discount zone.
Highlight Swing Break: Highlight occurrences of price breaking a previous swing level.
Show Swings/PD Arrays: Show swing levels/labels and pd areas.
🔶 USAGE
The Breaker Blocks with Signals indicator aims to provide users with a minimalistic display alongside optimal signals to be aware of for finding trade setups as shown below.
Here we can see a MSS occurred allowing the indicator to detect a Breaker Block (-BB) & display a red arrow to confirm this signal.
The signal(s) that can be used for potential entries are only during retests of the breaker blocks.
A potential strategy traders could use with this indicator is to target the corresponding Discount PD Arrays detected (for a short position) and Premium PD Arrays (for a long position).
In the image above we can see price generated the potential entry signals in orange & fell to the Discount PD Arrays as a logical setup to look for with this indicator.
As we can see in the image above, signals can be considered invalid when price closes above the 50% level in which it would be suggested to wait for another setup.
Users still looking for more potential setups based on the same breaker block can disable the "Stop at first break of center line" setting within the settings menu.
In the image above we can see a bullish example whereas price confirmed a bullish breaker block (+BB), had a quick pullback into it that was confirmed by the green arrow, and then reached the Premium PD Arrays.
While retests of breaker blocks can still function well if they occur later in the price action, it's most preferable for users to look for entry signals that are near confirmed breaker blocks (5-10 bars) opposed to waiting 20+ bars.
Additional take profits based on the occurence of the breaker blocks are given in order to provide targets after the occurence of a breaker block breakout.
🔶 DETAILS
Breaker blocks are formed after a mitigated order block, these can provide change of polarity opportunities, thus playing a role as a potential support/resistance. It is the re-test/retrace of price to a breaker block that will set the conditions to provide signals.
The above chart describes the creation of a breaker block.
The signal generation logic makes use of various rules described below:
Bullish Breaker Blocks:
opening price is within the breaker block, while the closing price is above the upper extremity of the breaker block.
Price did not cross the breaker block average in the interval since the previous breakout.
Bearish Breaker Blocks:
opening price is within the breaker block, while the closing price is below the lower extremity of the breaker block.
Price did not cross the breaker block average in the interval since the previous breakout.
When a new pattern is formed, all previous drawings are removed.
🔶 RELATED SCRIPTS
Order Blocks & Breaker Blocks [LuxAlgo]The Order Blocks & Breaker Blocks indicator detects order blocks that can be turned into breaker blocks on the chart automatically once mitigated.
Users can determine the amount of bullish and bearish order/breaker blocks that display on their chart from within the settings menu.
🔶 SETTINGS
Swing Lookback: Lookback period used for the detection of the swing points used to create order blocks.
Show Last Bullish OB: Number of the most recent bullish order/breaker blocks to display on the chart.
Show Last Bearish OB: Number of the most recent bearish order/breaker blocks to display on the chart.
Use Candle Body: Allows users to use candle bodies as order block areas instead of the full candle range.
🔹 Style
Show Historical Polarity Changes: Allows users to see labels indicating where a swing high/low previously occurred within a breaker block.
🔶 USAGE
We have published several scripts covering the detection of order blocks previously, however, the concept of breaker blocks was not yet introduced.
When price mitigates an order block, a breaker block is confirmed. We can eventually expect price to trade back to this breaker block offering a new trade opportunity.
We can see that this is similar to a change in polarity, where a support becomes a resistance after a breakout and vice versa.
This script highlights regular order blocks as solid extended areas on the chart and breaker blocks as dashed lines with dual-colored areas. The color change and dashed line starts at the location where the order block was mitigated.
Using a higher "Swing Lookback" setting will return longer term order/breaker blocks on the chart.
Users can optionally enable "Historical Polarity Changes" labels within the settings menu to see where breaker blocks might have provided an effective trade setup previously.
The "Historical Polarity Changes" setting is disabled by default & is most effective using replay mode as the labels are backpainted.
The order blocks & breaker blocks themselves can be used in real-time as they are detected based on the swing length & previous breaker blocks being mitigated.
Smart Money Essentials [TFO]This indicator utilizes “Smart Money Concepts” like liquidity, order blocks, premium & discount, and more to analyze price action.
What’s included in the initial release:
Market Structure
Liquidity
Displacement
Order Blocks
Premium / Discount
Confluence Table
Alerts
Market structure logic objectively identifies whether the current trend is bullish or bearish, based on swing highs and lows. Liquidity levels offer insight into major pivots where we can assume many traders may place their stop loss, which can also serve as areas where “Smart Money” may be accumulating or distributing positions.
Displacement adds to this by spotting rapid price movement, often accompanied by imbalances where price may come back to before continuing in the direction of the displacement. These can be filtered based on whether the imbalance is accompanied by a Break of Structure (BOS) or Market Structure Shift (MSS), which may give additional insight into the draw on liquidity.
Order blocks (OB’s) are detected and treated as areas that may offer support for price in an uptrend or resistance in a downtrend. Premium and discount zones are essentially fitted by an “auto-fib” retracement that looks at recent liquidity levels, and optionally offers areas to look for an Optimal Trade Entry (OTE) where price retraces between 62-79% of the preceding displacement leg.
The confluence table provides an organized place to visualize and identify where any of the above concepts may be present at or around the same time. We can implement a threshold where, if the number of selected factors meets or exceeds this threshold, we can potentially identify bullish and bearish opportunities where multiple layers of confluence are overlapping.
And of course, alerts are built in for all significant events related to the above concepts, for example: runs on liquidity, BOS and MSS, rejections from OB and OTE, etc.
