Order blocks and breakers

Here are some common types of order blocks and breakers:

Order Blocks:

  1. Support and Resistance Levels: These are areas where the price of a security has previously been unable to move beyond, and are often considered areas of support or resistance.
  2. Fibonacci Levels: These are areas where the price of a security has previously been unable to move beyond, based on Fibonacci ratios (e.g. 23.6%, 38.2%, 50%, 61.8%, etc.).
  3. Trend Lines: These are lines that connect a series of highs or lows in a security's price, and are often used to identify areas of support or resistance.
  4. Range Boundaries: These are areas where the price of a security has been trading within a specific range, and are often used to identify areas of support or resistance.
  5. Psychological Levels: These are areas where the price of a security has previously been unable to move beyond, based on psychological factors such as round numbers (e.g. 100, 200, etc.) or significant price milestones.

Breakers:

  1. Breakout: This occurs when the price of a security breaks above a resistance level or below a support level, indicating a potential change in trend.
  2. Breakdown: This occurs when the price of a security breaks below a support level or above a resistance level, indicating a potential change in trend.
  3. False Break: This occurs when the price of a security breaks above a resistance level or below a support level, but then quickly reverses and returns to the original level.
  4. Continuation Pattern: This occurs when the price of a security breaks above a resistance level or below a support level, but then continues to move in the same direction as the original trend.
  5. Reversal Pattern: This occurs when the price of a security breaks above a resistance level or below a support level, but then reverses direction and moves in the opposite direction of the original trend.

It's worth noting that order blocks and breakers are not mutually exclusive, and can often be used together to identify potential trading opportunities. For example, a trader may look for a breakout above a resistance level, and then use a stop-loss order to limit their potential losses if the price breaks back below the level.