[[https://www.xpressnets.com/wiki/doku.php?id=gptplaybook|Back]] ===== ๐Ÿ”น Strategy 4: Micro Order Block Reversal ===== * **Setup**: Micro consolidation (1โ€“3 bars), price breaks structure and retests * **Entry**: Enter on OB confirmation wick re-test * **Stop Loss**: Below OB or structure break * **Take Profit**: VWAP, midpoint, or pre-market level ===== ๐Ÿ”น Micro Order Block Reversal ===== **Why?** You often get a **pullback into a price block or consolidation zone**, then a **reversal** when **liquidity is absorbed** and the **trend resumes**. {{ :microreversal.jpg?400 |}} === ๐Ÿงช MOBR Quick Checklist === * 1โ€“3 bar consolidation zone * Liquidity sweep just outside zone * Engulfing or pin bar reversal * Retest of the OB โ†’ entry * Tight SL just beyond structure ===== ๐Ÿ”„ What is a Micro Order Block Reversal? ===== A **Micro Order Block Reversal** is a high-precision entry setup used by smart money and scalpers. It occurs when price creates a small **order block (OB)** through brief consolidation, then **fakes out** or sweeps liquidity, and **reverses direction**. ==== ๐Ÿง  What Is It? ==== * A **micro order block** is a tiny consolidation zone (1โ€“3 candles) where large players accumulate positions. * Price **breaks structure**, **sweeps liquidity**, and then **retests** the OB before reversing. * This gives early entries with **tight stop losses**. ==== ๐Ÿ” How to Spot It ==== * โœ… Look for **1โ€“3 candle consolidation** near a recent swing high/low * โœ… Watch for a **fake breakout** (liquidity sweep) just above/below the zone * โœ… Wait for a **snap-back move** with a strong **reversal candle** (engulfing, pin bar) * โœ… **Enter** on the **retest** of the OB (a wick back into the zone) * โœ… **Stop Loss**: Just outside the wick or structure break ==== ๐ŸŽฏ Why It Works ==== * Captures **smart money entries** early * Offers **high reward-to-risk** setups * Effective in **reversals** or **range-bound markets** === โœ… Micro Order Block Reversal === **Example:** * **On a 1-minute chart, price consolidates with 3 small candles after making a local low.** * **It sweeps just below the range**, **then prints a bullish engulfing candle __that closes above the OB__.** * **Trade Entry:** Long on retest wick back into the OB. * **Stop Loss:** Just below the OB low. * **Target:** VWAP or mid-range. **Why it worked:** Liquidity was grabbed below structure, and smart money reversed price. [[https://www.xpressnets.com/wiki/doku.php?id=gptplaybook|Back]]