Order Block Indicator | DTD

4월 4일

Hello trader comuunity!

I'm uploading a basic script that I felt necessary to make to help me with some gaps in my day trading. I personally am a visual trader that benefits greatly from automating some the ideas I have in my head. There are awesome builders out there and me creating this script isn't a knock on what's currently available to us, but something I wanted to be able to manage. I am opening up what I've found extremely helpful to my own trading to the community.

Here we have a very simple ATR-based order block (OB) finder. It's not anything original, but I do find consistent opportunities when combined with other tools I use to measure the market. It takes into consideration the previous 25 candles to determine if the OB is significant enough to mark. I use the average of 25 because I simply like it. I use the 25 EMA as part of my "trending" templates and find it to be a hybrid timeframe of sorts. You can find macro and micro trade locations by switching timeframes.

The main elements of the script are:
1. ATR based tracking | A bullish OB is defined as a down close candle that is eclipsed by an up-close candle that closes above its high and sustained for 2 consecutive candles. Inversely, a bearish OB is defined by an up-close candle immediately followed by a down-close candle that closes below the low of the up-close candle and sustains for 2 consecutive candles.

2. Coloring the OB | Though up-close and down-close define bearish and bullish levels, with this script I basically make OBs to switch colors based on where price is relative to the block. So a bullish block can become bearish and bearish can become bullish. Each block also has a dashed midpoint.

3. Order Block Mitigation | When price retests an OB by closing inside of it and retracing back out, that is considered mitigation. You will see price tap into it, but continues to track as a valid block, it's because it didn't close inside the block. This is subject to change in the future, but it's how the script functions for now.
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There are nuances to the script that you will see as you use it. Sometimes mitigated OBs act as levels to consider as well. When multiple blocks overlap I consider that a high traffic area. I would never suggest to use an indicator by itself for trade ideas, but blocks that align on multiple timeframes are good to consider.

At the end of the day it's a support and resistance measure. I'll comment an update with a snapshot of the indicator with another proprietary indicator I've made that provides ample intraday trading opportunities.

Cheers,

DTD

6월 8일

릴리즈 노트

Update:

- Some minor formatting changes to the scripts flow for myself personally.

- New user feature to adjust the ATR value that determines order block sensitivity calculations

6월 8일

릴리즈 노트

Update: Slight change to wording on Order Block Color Title

6월 19일

릴리즈 노트

Update:

- Order Block color updating was not working because of the call once confirmation was made was a fixed RGB. We now set it to the "bullColorInput" and "bearColorInput" after the calculations are made so the user can customize to their preferences.