Voting for The Blockchain 100 is officially open. Back the creators whose insights sharpened your thinking and whose content got you through the ups and downs of the market.
👉 Cast your vote
🗳 Voting: Oct 19, 09:00 – Oct 28, 15:59 (UTC) 🏆 Winners announced: Oct 29, 09:00 (UTC)
🚀💰 Turned a clean $117 profit from $SIREN today — perfect execution! 📉🔥 Feeling extra generous… so it’s GIVEAWAY time! 🎁💙 💸 $50 Giveaway Alert 💸 👥 5 lucky winners — $10 each 🤑 Wanna grab it? 👇 Just drop a “Hello” in the comments and stay active 🔥👀 ⚡ Super simple. Super fast. 100% real. Let’s find out who’s really active in the community 👀🚀 #SIRENUSDT #Perp 📊 Price: 0.24845 🔻 -85.44% 📉
A **valid order block** (OB) is a high-probability price zone in Smart Money Concepts (SMC) and ICT trading where institutions are believed to have placed large orders. It is identified as the **last opposing candle** before a strong impulsive move—for example, the final bearish candle before a sharp bullish rally (bullish OB) or the final bullish candle before a sharp bearish decline (bearish OB).
### Key Characteristics of a Valid Order Block For an order block to be considered **valid**, it must show clear signs of institutional involvement:
- **Liquidity Sweep / Takeout**: Price briefly raids equal highs/lows or stop-loss clusters just before the impulse, gathering liquidity to fuel the move. - **Strong Displacement**: Aggressive, large-bodied candles with momentum, not slow or choppy drift. - **Break of Structure (BOS) or Market Structure Shift (MSS)**: Price breaks a previous swing high or low in the direction of the impulse. - **Imbalance or Fair Value Gap (FVG)**: Created during the fast move away from the block, indicating price inefficiency. - **Unmitigated Zone**: When price returns, it has not fully closed through the block on the first retest. - **Clear Reaction on Retest**: Price often respects the zone with reversal candles or confluence.
Valid order blocks align well with higher-timeframe bias and reflect “smart money” efficiency. Traders typically mark the **proximal line** (closer to the impulse) and **distal line** (farther side) for precise entries.
### Bullish vs Bearish Valid Order Blocks - **Bullish OB**: Last bearish candle before strong upward displacement. Acts as future support. - **Bearish OB**: Last bullish candle before strong downward displacement. Acts as future resistance.
### Trading a Valid Order Block Wait for price to retrace to the OB. Enter with confirmation such as candlestick reversal, FVG overlap, or change of character. Always combine with overall market structure and risk management. A valid OB has a higher chance of producing a bounce or reversal compared to random levels.