{"id":26384,"date":"2023-08-23T01:55:28","date_gmt":"2023-08-23T05:55:28","guid":{"rendered":"https:\/\/www.investorsradar.com\/?p=26384"},"modified":"2023-08-23T01:55:28","modified_gmt":"2023-08-23T05:55:28","slug":"learning-to-trade-the-order-block-forex-strategy","status":"publish","type":"post","link":"http:\/\/www.investorsradar.com\/learning-to-trade-the-order-block-forex-strategy\/","title":{"rendered":"Learning To Trade The \u2018Order Block\u2019 Forex Strategy"},"content":{"rendered":"\n

Order blocks are areas of price consolidation where large orders have been placed by institutional investors. These orders can create significant support or resistance levels, making them important to identify for traders.<\/p>\n\n\n\n

The order block trading strategy<\/a> is a popular way to trade these areas. It involves identifying order blocks on a price chart and then entering trades in the direction of the break-out from the block.<\/p>\n\n\n\n

How to identify order blocks<\/strong><\/p>\n\n\n\n

Order blocks can be identified by looking for areas on a price chart where there is a large number of candles with small bodies. This indicates that there was a lot of buying or selling pressure in that area, which can lead to a significant move in the price once the block is broken.<\/p>\n\n\n\n

Another way to identify order blocks is to look for areas where the price has been rejected multiple times. This is a sign that there is strong support or resistance at that level, which could make it a good place to enter a trade.<\/p>\n\n\n

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How to trade order blocks<\/strong><\/p>\n\n\n\n

Once you have identified an order block, you can enter a trade in the direction of the break-out. The stop loss should be placed just below or above the order block, depending on whether you are trading a long or short position.<\/p>\n\n\n\n

The profit target can be placed at a predetermined distance from the order block, or it can be trailing stop.<\/p>\n\n\n\n

Here are some tips for trading order blocks:<\/strong><\/p>\n\n\n\n