Something that i see very often is that people seem to not really understand what orderblocks actually are. If you ask them the answer will be "the last red candle before an up move" and vice versa. But what does that mean? What is the reason for those levels to be relevant?
The name pretty much describes it. Orderblocks are simply a lot of orders sitting at a certain price level.
When price comes down and suddenly has a strong impulse to the upside (and vice versa), late shorts are under water, and some long orders might not get filled.
When price comes down and suddenly has a strong impulse to the upside (and vice versa), late shorts are under water, and some long orders might not get filled.
Here a graphic to simplify it: 
When price revisits that area, all those resting orders get executed, and price should see another impulse.
Of course this graphic is very simple and you will never see such a perfect scenario, but you should understand what you are betting your money on.
Of course this graphic is very simple and you will never see such a perfect scenario, but you should understand what you are betting your money on.
I hope i was able to help you a little bit with that explanation. Feel free to folow me for more content like this.
#cryptocurrecy #TRADINGTIPS
#cryptocurrecy #TRADINGTIPS
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