TFlab

Order Blocks Finder [TradingFinder] Major OB | Supply and Demand

TFlab Updated   
πŸ”΅ Introduction
Drawing all order blocks on the path, especially in range-bound or channeling markets, fills the chart with lines, making it confusing rather than providing the trader with the best entry and exit points.

πŸ”΅ Reason for Indicator Creation
For traders familiar with market structure and only need to know the main accumulation points (best entry or exit points), and primary order blocks that act as strong sources of power.

🟣 Important Note
All order blocks, both ascending and descending, are identified and displayed on the chart when the structure of "BOS" or "CHOCH" is broken, which can also be identified with "MSS."

πŸ”΅ How to Use
When the indicator is installed, it plots all order blocks (active order blocks) and continues until the price reaches them. This continuation happens in boxes to have a better view in the TradingView chart.
Green Range: Ascending order blocks where we expect a price increase in these areas.
Red Range: Descending order blocks where we expect a price decrease in these areas.

πŸ”΅ Settings

Order block refine setting: When Order block refine is off, the supply and demand zones are the entire length of the order block (Low to High) in their standard state and cannot be improved. If you turn on Order block refine, supply and demand zones will improve using the error correction algorithm.

Refine type setting: Improving order blocks using the error correction algorithm can be done in two ways: Defensive and Aggressive. In the Aggressive method, the largest possible range is considered for order blocks.

🟣 Important
The main advantage of the Aggressive method is minimizing the loss of stops, but due to the widening of the supply or demand zone, the reward-to-risk ratio decreases significantly. The Aggressive method is suitable for individuals who take high-risk trades.

In the Defensive method, the range of order blocks is minimized to their standard state. In this case, fewer stops are triggered, and the reward-to-risk ratio is maximized in its optimal state. It is recommended for individuals who trade with low risk.

Show high level setting: If you want to display major high levels, set show high level to Yes.

Show low level setting: If you want to display major low levels, set show low level to Yes.

πŸ”΅ How to Use
The general view of this indicator is as follows.
When the price approaches the range, wait for the price reaction to confirm it, such as a pin bar or divergence.
If the price passes with a strong candle (spike), especially after a long-range or at the beginning of sessions, a powerful event is happening, and it is outside the credibility level.

An Example of a Valid Zone
An Example of Breakout and Invalid Zone. (My suggestion is not to use pending orders, especially when the market is highly volatile or before and after news.)
After reaching this zone, expect the price to move by at least the minimum candle that confirmed it or a price ceiling or floor.

🟣 Important: These factors can be more accurately measured with other trend finder indicators provided.
πŸ”΅Auxiliary Tools
There is much talk about not using trend lines, candlesticks, Fibonacci, etc., in the web space. However, our suggestion is to create and use tools that can help you profit from this market.

β€’ Fibonacci Retracement
β€’ Trading Sessions
β€’ Candlesticks

πŸ”΅Advantages
β€’ Plotting main OBs without additional lines;
β€’ Suitable for timeframes M1, M5, M15, H1, and H4;
β€’ Effective in Tokyo, Sydney, and London sessions;
β€’ Plotting the main ceiling and floor to help identify the trend.
Release Notes:
Many definitions in "Smart Money" and "ICT Concepts" emphasize the 50% line of "OB". This 50% line is the same as the "Discount" point, which most volume traders focus on.
Important note: Some traders use pending orders before the price reaches the 50% line in the retracement zone , which we do not recommend at all:
- News-driven movements
- Rapid movements
- Spread increases
Easily activates these pending orders.

🟣 Changes
1. Drawing the 50% line inside all "OB" as the best entry point .
2. Ability to change color in the Settings section.

As you can see in the images below, the 50% lines are applied to all and (in both upward and downward trends).

In these images, the ability to change the color in the "Order Block" has been implemented, and you can choose your favorite color as desired.
Release Notes:
The current update adds a feature to the "Order Blocks Finder" indicator that displays the latest static "support" and "resistance" levels on the chart. It works as or .


Enabling the Feature, You can enable or disable the display of these levels using the settings shown in the image below.


*. Important: Default is "No", you can change it to "Yes" in settings.

Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.

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