
What is the Order Block Finder Indicator?

An indicator is a tool used in technical analysis to analyze price movements, identify patterns, and predict potential market trends. Indicators are vital for traders as they simplify complex data into actionable insights. They can help detect trends, momentum, volatility, and even specific market conditions. Platforms like TradingView allow traders to use, customize, or create their own indicators using Pine Script, TradingView’s proprietary scripting language.

One such tool is the Order Block Finder indicator. This advanced indicator pinpoints bullish and bearish order blocks (OBs) based on specific price action criteria, giving traders a clearer view of key levels in the market.
How the Order Block Finder Indicator Works on TradingView

The Order Block Finder indicator is designed to identify and mark bullish and bearish order blocks on a chart. These order blocks signify areas where significant buying or selling activity has occurred, often leading to price reversals or continuations. Below is a detailed breakdown of how this indicator functions:
1. Bullish Order Block (Bull OB):
A bullish order block represents a price zone where buying activity dominates, often serving as a support level. This is identified when:
- The closing price of a candle is below its opening price at a particular point.
- A majority of the previous candles, within a defined lookback period, exhibit bullish behavior (i.e., their closes are higher than their opens).
- A significant upward price move, measured as a percentage, has occurred from this zone.
2. Bearish Order Block (Bear OB):
A bearish order block indicates a price zone dominated by selling activity, often acting as a resistance level. This is identified when:
- The closing price of a candle is above its opening price at a specific point.
- A majority of the previous candles, within the same lookback period, are bearish (i.e., their closes are lower than their opens).
- A significant downward price move, defined by the minimum percentage move setting, is detected from this zone.
Key Features of the Order Block Finder Indicator
The Order Block Finder indicator comes with several customizable features that make it a versatile tool for traders on TradingView:
1. Lookback Period:
This parameter specifies how many candles the indicator analyzes to detect potential order blocks. A longer lookback period provides broader context, while a shorter period focuses on recent market activity.
2. Minimum Percent Move:
This feature ensures that only significant price changes are considered. Users can set a percentage threshold to filter out minor market fluctuations, ensuring the order blocks detected represent meaningful price action.
3. Alert Conditions:
The indicator supports TradingView’s alert system, allowing traders to set up notifications for new bullish or bearish order blocks. This ensures that traders never miss potential trade opportunities, even when away from their screens.
4. Box Drawing:
To make order blocks visually distinct, the indicator draws boxes on the chart to represent identified zones. Bullish order blocks are typically highlighted in green, while bearish ones are in red (default colors). These graphical elements make it easier to recognize key levels at a glance.
5. Customizable Display Options:
Users can control the visibility of bullish and bearish order blocks independently. Additionally, they can adjust the number of boxes displayed on the chart, which helps declutter charts and focus on relevant data.
6. Appearance Customization:
The indicator allows users to change the colors of the order block zones to match their preferred theme or enhance chart readability. This level of customization ensures a tailored experience for each trader.
Why Use the Order Block Finder Indicator on TradingView?

TradingView is one of the most popular platforms for traders, offering a seamless blend of charting tools, social features, and scripting capabilities through Pine Script. The Order Block Finder indicator enhances this experience by providing:
- Precision in Analysis: By identifying key areas of buying or selling pressure, traders can make more informed decisions.
- Time-Saving: Automated detection of order blocks eliminates the need for manual analysis, allowing traders to focus on strategy execution.
- Flexibility: Fully customizable settings mean the indicator can adapt to various trading styles, from scalping to swing trading.
- Integration with Alerts: TradingView’s alert functionality, combined with the Order Block Finder, ensures traders stay updated in real time.
How to Use the Indicator on TradingView
To use the Order Block Finder indicator on TradingView, follow these steps:
- Access the Indicator:
- Open your TradingView chart.
- Click on the โIndicatorsโ tab at the top of the screen.
- Search for “Order Block Finder” or import it if it’s a custom Pine Script indicator.
- Customize the Settings:
- Adjust the lookback period and minimum percentage move to suit your trading style and timeframe.
- Toggle visibility options for bullish and bearish order blocks.
- Set up alerts for automated notifications.
- Analyze the Chart:
- Look for green (bullish) or red (bearish) boxes on the chart.
- Use these zones as potential support or resistance levels in your trading strategy.
- Test and Optimize:
- Backtest the indicator on historical data to ensure it aligns with your trading goals.
- Make adjustments to the settings as needed.
Conclusion
The Order Block Finder indicator is a powerful tool for traders using TradingView. By leveraging this indicator, traders can easily identify critical price zones where significant buying or selling pressure exists. With features like customizable lookback periods, minimum percent moves, and integrated alert systems, it simplifies the process of spotting trading opportunities.
Thanks to TradingViewโs robust platform and the versatility of Pine Script, creating or customizing such indicators is more accessible than ever. Whether you’re a beginner or an experienced trader, the Order Block Finder can elevate your technical analysis and trading strategies.
Pinescript of Order Block Finder Indicator on TradingView

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Disclaimer
The information provided in this article and any related indicators is for educational purposes only. Trading financial markets carries significant risk, and there is no guarantee of profit. The custom Bollinger Band strategy relies on historical data and technical analysis, which may not accurately reflect future market behavior. Users should conduct their own research, evaluate their risk tolerance, and consult with a licensed financial advisor before making any trading decisions. The author and developer of this indicator are not responsible for any losses incurred from using this strategy. Please trade responsibly.

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