Breaker Block (BB)

A failed Order Block that has been violated and later acts as support or resistance in the opposite direction. Breaker Blocks often occur after a liquidity grab or a market structure shift.

Difference from Hidden Order Block (HOB)

While a HOB remains hidden until confirmed by specific price behavior (e.g., candle body closing inside it), a Breaker Block is visible after the initial OB fails and the level is retested from the opposite side.

Role of FVG

Breaker Blocks often form in conjunction with Fair Value Gaps. When price rebalances through an FVG and returns to the violated block, this can confirm the zone as a valid Breaker Block.

Fair Value Gap (FVG)

An area on the price chart indicating inefficient price action, where imbalances between buyers and sellers occurred. Price often revisits these gaps to rebalance.

Fair Value Gap Block (FVG Block)

A specific type of order block formed around or associated with Fair Value Gaps, representing significant institutional interest and potential turning points.

Fibonacci Levels

Ratios derived from the Fibonacci sequence used to identify potential support and resistance levels, key retracement points, and targets in market structure.

Hidden Order Block (HOB)

An Order Block not immediately apparent in standard price action, typically hidden behind significant price movements, revealed through specific conditions or indicators.

Difference from Breaker Block (BB)

A HOB remains valid as long as certain price conditions (e.g., no candle body close beyond it) are met. If a HOB is broken and price respects it from the opposite side, it may transform into a Breaker Block.

Role of FVG

HOBs often become visible when price fills a Fair Value Gap leading into the block. The FVG can act as a “trail” or hint that institutional orders may be hidden beyond.

Liquidity Grab

A market move designed to trigger stop losses and pending orders, commonly used by institutions to accumulate or distribute positions.

Market Structure (MS)

The overall price movement pattern consisting of trends, swing highs, swing lows, and consolidation phases, crucial for identifying market direction and strategic entry or exit points.

Money Flow

The movement of capital into or out of a market or asset, indicating buying or selling pressure and often used to assess underlying market strength or weakness.

Order Block (OB)

A significant price zone created by institutional traders accumulating large orders. OBs typically act as strong support or resistance when revisited.

Partial Hidden Order Block (PHOB)

An incomplete penetration of a Hidden Order Block, typically indicated when the price interacts only partially (e.g., at equilibrium) with the block rather than fully penetrating it.

Possible Hidden Order Block (Possible HOB)

A Hidden Order Block identified tentatively, pending confirmation. Usually requires a candle body close within the block’s boundaries for confirmation; otherwise, remains tentative.

Premium and Discount Pricing

Price zones identified through equilibrium (50% level) between recent swing highs and lows. Prices above equilibrium are premium (selling ideal), and prices below equilibrium are discount (buying ideal).

Smart Money Concept (SMC)

Trading methodology based on following institutional traders (“Smart Money”), identifying their order blocks, liquidity areas, and market manipulation techniques to improve trade accuracy.

Swing Failure Pattern (SFP)

A price action scenario where price briefly surpasses a prior swing high or low but fails to sustain momentum, indicating potential reversals due to trapped traders or liquidity grabs.

Wyckoff Accumulation/Distribution

Phases of market behavior identified by Richard Wyckoff, illustrating institutional buying (accumulation) or selling (distribution) behaviors preceding major market moves.