Order Blocks Explained: How to Trade Institutional Order Flow
ICT & SMC · 14 min · Published 2026-03-19
Learn order blocks for free. Covers bullish and bearish order blocks, how to identify them, entry techniques, and combining order blocks with fair value gaps.
An order block is the last opposite-colored candle before a significant impulsive price move, representing an area where institutional orders were executed. Bullish order blocks (last bearish candle before a rally) act as demand zones, while bearish order blocks (last bullish candle before a drop) act as supply zones. Price frequently returns to these levels for high-probability entries.
Frequently Asked Questions
Do order blocks always hold?
No. Order blocks can be mitigated (broken through), especially if the imbalance that created them has been filled. Only trade order blocks that align with the higher-timeframe trend and have not been previously tested.
What timeframe is best for order blocks?
Identify order blocks on the 1-hour or 4-hour chart for context, then refine entries on the 15-minute or 5-minute chart. Higher-timeframe order blocks are more significant.
Can I learn order blocks for free?
Yes. Tradyom's free ICT/SMC course covers order block identification, entry techniques, and risk management in detail.