Order block

Learning path 5/6 · The footprint of the move's origin

Published 24 Jul 2026 · every rule box checked against mechanization v1 (frozen 16 Jul 2026) · parameter changes land in the changelog first

In three sentences

An OB is the last opposite-direction candle before a displacement leg that leaves an FVG.
The zone must be untapped and on the correct side of the H4 dealing range for the current bias.
OBs and qualified FVGs both feed H1 zone context; the M15 entry trigger is always an FVG retest.

What it is

Before a displacement leg launches, someone was absorbing the other side — and the last opposite-direction candle before the leg is the visible footprint of that absorption. Marked as a zone, it tends to act as origin-of-move support or resistance when price returns.

The exact engine rule

Mechanization v1 OB = the last opposite candle immediately preceding a leg that (a) shows displacement (body ≥ 1.5 × 20-bar average) and (b) leaves an FVG. The zone must be untapped and on the correct side of the H4 dealing range for the current bias — a bullish OB in deep premium is discarded, not traded.

OB versus FVG

They're siblings born of the same displacement: the OB marks where the move came from, the FVG marks what it skipped. The engine uses OBs primarily as H1 zone context and FVGs as the M15 entry mechanism — context from one timeframe, trigger from another.

Common misuse

Painting every opposite candle as an "order block" until support is everywhere. Without the displacement + FVG requirement on the following leg, an opposite candle is just a candle.

Common questions

What's the difference between an OB and an FVG?

Siblings from the same displacement: the OB marks where the move came from, the FVG marks what it skipped. Both qualify H1 zones here; the entry trigger itself is always an FVG.

Is every opposite candle an order block?

No. Without displacement and an FVG in the following leg, an opposite candle is just a candle — that requirement keeps the chart from becoming wallpaper.

Why does range position matter for an OB?

A bullish OB deep in premium is a discarded zone, not a discounted trade. Location decides whether a setup exists at all.

On real charts — marked vs. left alone

Below: the engine's own markings, captured from our TradingView indicator on live charts — screenshots, not illustrations. The second frame in each pair is the one nobody in this category publishes: a candidate that looks like the pattern and gets no mark, because it misses a threshold above. Rules are only testable if their failures are visible too.