What an order block is

Order Blocks & Premium/Discount

The footprint of big orders

An order block is the last candle of opposite color right before a strong, displacing move. It marks the footprint of the big orders that fueled the move that followed.

Bullish means the last down candle

A bullish order block is typically the last down-close candle before price rips higher. It marks where big buyers were still absorbing supply right before they took full control.

The logic behind the zone

If a large buyer needed to accumulate a position, the last down candle before the launch is where they were likely still filling orders, right before price escaped upward.