Transcript for:
Boot Camp - Order Blocks

are you guys ready for another boot camp day in the in in the learning all right sorry Focus [ __ ] that might get actually I'm not even monetized hey I read my set Jay on 4pf on GDK come up on my block wait what the [ __ ] this [ __ ] is wrong on 4pf J full Pockets foe faux Pockets faux what's your go-to order Wendy's why you wear number 44 because I get that damn Wendy's Fofo on GDK on crib on BDS [Laughter] all right anyways let's get into it boot camp day number I don't [ __ ] know anyways we're gonna learn about order Cox order blocks today [ __ ] all right let's actually Focus we're gonna learn about order blocks today um per usual with our little building block series of our um strategy we are going to you know the first day is literally just me talking about why we want to use them um why they're useful to us you know usually a quick little overview of uh why we're using them what they do how they act um and how they're beneficial to us in the market and then day two is how we can spot them and then day three is putting it all together and um I'm honestly really excited for day three because um after that I mean I'm honestly more excited for when we can finish up equilibrium and then we can start getting into like you know putting everything together and we're literally gonna do like three days in a row of like it's going to be like day one putting everything together day two putting everything together day three putting everything together and it's literally just gonna be us on the charts just like you know like look boom boom boom boom boom Market flowing off of everything that we just learned um but yeah with that being said let's talk about order blocks let's talk about what they are let's talk about why they're beneficial to us so um what is a order block so if you guys remember um when we talked about liquidity sweeps uh remember right in order for there to be a liquidity sweep right we have to either take out a high or a low right in that and by taking out a high there has to be a move up and by taking out a low there has to be a move down you know prior to the you know break of structure that ends up Shifting the market structure right and essentially all in order block is is that move up that causes the liquidity sweep you know and then boom when liquidity gets swept orders get filled right that's why it's called an order block because it's literally like boom the move up right this is this whole price range is where the orders were filled and then in turn right let's say we had like a like this was the high or something we sweep this liquidity or whatever and then we break structure right on this move up right here this is where orders were able to get filled right so that's that's essentially what our order block is and and we'll talk more um in two days about uh how we can how can how we can spot them but essentially that move up or that move down taking out liquidity where orders are being filled is our order block okay so why is this beneficial to us and why would we want to know you know why we want to use that because one it's just beneficial knowing the terminology and understanding that hey this move down or this move up is what caused those orders to be filled and that's that move up and that move down right that that price range is where all these orders were filled so with that understanding right we know that okay we have a little uptrend and then boom okay right here is where orders were filled so if price hold on that looks super shitty um if price was able to or if the market makers were able to fill their orders with this leg up and within this price range similarly to how fair value gaps right they want to push price back within this price range right similar to fair value gaps how they would want to you know push price back into a price range to fill more orders to you know either move the market down further or move the market up further um same thing with this so right they were able to fill short orders within here so when they start getting buying pressure again and price starts moving up they say okay cool we'll push price right back up because we know there's going to be people you know willing to fill even more orders within here right because literally a couple minutes or a couple seconds ago or whatever time frame we're on right there were there were orders to be filled within here so what can they do they can push price back into this order block right where more resting orders are waiting to be filled in the opposite direction right so they can boom fill their orders boom and send price lower and that's essentially all in order block is it's the price range from where the first orders were filled and then when we get that retracement on up into the order block um that is where uh that's that's where they can fill even more orders right because they were able to fill it before in this price range they can fill even more orders to send price boom further down in that same direction I honestly like order blocks as I I would rank it as this so liquidity sweep and break of structure that's the start of the move that is um that's the top of the entry okay fair value gaps order blocks and equilibrium are used for retracements right so if we cannot catch um if we can't catch if we can't catch this liquidity sweep break of structure entry we can say okay we have three more options now if we if we see like okay we missed the liquidity Suite we miss the break of structure now we have three more options for a re-entry for a a retracement play the first option every single time for me is going to be an order block because right it's still at the top of the move and oftentimes you can get you know even a better entry than off of just the liquidity sweep and the breakup structure right because oftentimes this low is the very beginning of the order block and you can you know sometimes get filled you know within here where where price wants to retrace to Okay so with that right Order Box is is always going to be my very first um point of Interest or yeah point of interest uh for for a retracement play because it's it's the it's still at the top of the move and oftentimes you can get even a better entry off of these um then you can off a liquidity sweep okay and then next I would do a fair value Yap and then after that our equilibrium and fair value gaps are are pretty similar um but something about order blocks that we need to understand is there's only one there's only one order block within a whole Trend right because they form off of a liquidity sweep orders getting filled and then the start of a new trend right this this trend this trend right this uptrend got broken by the liquidity sweep by the break of structure now we have this order block within here right where price can potentially retrace on up to okay boom and then we start this downtrend right and then right there's no other order blocks within here right because there's right there's there's fair value gaps there's equilibrium getting filled and we'll talk about equilibrium in a couple days or in like a week or so um but right there's only one of these and the next one that gets made is when boom right when we get another Trend shift okay so where's our order block on this it's the it's the leg down prior to the liquidity sweep boom and what and we'll talk about you know how to spot these tomorrow I'm just trying to help you guys visualize this but you know this is this is going to be or let's make sure it shows the liquidity Suite but yeah so this is the only order block and then from there right boom then we go higher so this is something we need to understand that there's only one order block within every single Trend that gets formed okay yes there can be order blocks on every single time frame which is again a reason why I love the way that I trade because all of these concepts are applicable on every single [ __ ] time frame and that's just the way that you know this [ __ ] should be um so that being said today was today was very very short um there really isn't much else to to cover on order blocks um besides the fact that it is the it is the move prior to the liquidity sweep that causes the liquidity sweep and then because of that move and because those orders were be were able to get filled we can get that break of structure okay and then when we get that break of structure what will price likely do it will likely want to go back up into that area fill even more orders because they were able to fill orders there previously and send price even lower or send price even higher cool cool really not much else to talk about um on order blocks today uh just quick little you know explanation of what they are you know hopefully you guys um learn something from this on the explanation days we don't really have homework okay um you're welcome school's off um but so yeah that's that's um that's order blocks okay I pretty much explained and then in two days we'll talk about how to spot them and I'll show you how how [ __ ] powerful these things are especially on uh lower time frames because they they appear literally every single day you know every single hour I'm like one minute time frames um and it's it's awesome to see how how how respected these things actually work and I I honestly talk about these very frequently um in talking about how that's where orders were accumulated I I call them like accumulation areas it's very similar similar it's it's pretty much you know an order block accumulation area all all pretty much the same thing everyone loves giving different terminologies for different things just to sound fancy just to sound like they're unique it's it's the same [ __ ] [ __ ] we're all trading the same [ __ ] we're all trading the same markets um but anyways that being said that's order blocks explained no homework for today you guys are off the hook um I'll see you guys tomorrow for some psychology stuff hopefully you guys did not trade today because as we can see right hopefully you guys learned from that news from that news thing we had um load this thing up if it wants to we had PPI PPI and fomc all through here which is actually um going to happen in about two hours and right we can we can look at the the market it looks pretty [ __ ] terrible if we look like this is why we need to know when news when news is going on this is on the 15 minute time frame and since U.S market opened which was right here uh right here we have moved a total of 34 Pips on an extremely volatile pair in GBP JPY so if that if that tells you if that tells that should tell you enough about why you should not be trading today um so yeah hopefully you guys learned something hopefully this gave you guys some benefit um with that being said I'll see you boys tomorrow peace out