Orderblocks

Orderblocks are a powerful technical analysis tool that we can use to scout potential entry levels. They are a small period of accumulation before a pump

HOW TO SPOT ORDERBLOCKS

To spot an orderblock, simply look for red candles before a strong pump. There should be a clear difference between the size of the red and green candles. Although not necessary, a BOS (break of structure) caused by the bullish candles are ideal

Once you find this, mark out the orderblock using the rectangle tool (click the paintbrush tool on the left sidebar)

Some people mark out just the last red candle, where as others will mark all the red candles. This is personal preference and you should use whichever you find works best for you

WHEN TO BUY

An orderblock has 3 main entry positons

• Top

• Midpoint

• Bottom

You will often find price reacts at either, or sometimes, all three of these levels. You may decide to scale in at each point, or buy your whole position in at a set level. This is completely up to you Also note that orderblocks may get front run sometimes, and price will barely miss the top before moving higher. This is not uncommon

WHAT TIMEFRAME SHOULD I USE

The higher the timeframe you use, the less risky it potentially is. Therefore, to stay safe you should try using the orderblock on the highest timeframe available. This is of course up to you, and it does not mean orderblocks on lower timeframes wont work at all

CAN ORDERBLOCKS BE INVALIDATED

An orderblock can be considered invalidated in two circumstances

• Price dropped out the bottom of it

• Price has already filled and bounced out of it

As memecoins are so volatile, and one person can cause a massive decrease in price, the first circumstance can be ignored