OPEN-SOURCE SCRIPT
Smart Order Block Identifier
This custom TradingView indicator identifies and highlights Smart Money Order Blocks (OBs) based on refined multi-candle price action logic. It detects bearish and bullish order blocks using a structured pattern involving five candles. For a bearish order block, the central (OB) candle must have a high that is greater than the highs of both the candle before and after it—signaling local strength. Additionally, the high of the candle two bars after (the “next-next” candle) must be lower than the OB candle’s low, indicating a potential shift in momentum and confirming bearish intent. Conversely, a bullish order block is identified when the OB candle has a low lower than the lows of both the previous and following candle. The candle two bars later must have a low higher than the OB candle’s high, showing price rejection and a likely reversal. The indicator marks these blocks visually with boxes on the chart and optionally filters out mitigated zones.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.