The Point of Interest in Crypto Trading

In this post i will try to explain what is the “Point of Interest” in the Crypto Trading World

Table of Content

FVG
OB
Breaker Blocks
Mitigation Block
Swing High and Swing Low

1.FVG

Occurs when there are inefficiencies or imbalances in the market. Fair value gaps can become a magnet for the price before continuing in the same direction. Identify FVG as Support/Resistance in the price.

2.OB (Order Book)

Order block is an area where there has been a large concentration of limit orders waiting to be executed.
OB are identified by observing previous price action and looking for areas where the price experienced significant movement or sudden changes in direction.

3.Breaker Blocks

A breaker block is a concept that emerges when an order block fails, leading to a change in market structure.
It signifies a pivotal point where the market shifts direction, offering a opportunity to enter trades based on anticipated trend continuation

4.Mitigation Block

A mitigation block forms after a failure swing, which occurs when the market fails to surpass a previous peak in an uptrend or a previous trough in a downtrend. The pattern indicates a loss of momentum and a potential reversal.

5. Swing High and Swing Low

A ‘swing high’ is a price peak that is higher than the previous high.
A ‘swing low’ is a price trough that is lower than the previous low.
These patterns can be used to identify trends, reversals, and potential trade opportunities.