Order Block
Filter in the app: Order Block
An order block is the last opposing candle before a strong move that breaks a prior swing. A down candle just before a sharp rise is discussed as one kind of order block. An up candle just before a sharp drop is the other. People search for an order block when they want a name for that candle's range. The zone is not a promise that price will go up, and it is not an instruction to trade. In PatternLabs the filter is called Order Block. This page explains the order block and how a scan uses it. It is not financial advice.
What an order block shows
The idea is simple. Before a strong push, there is often one last candle in the opposite direction. Traders mark the high and low of that candle and call the range an order block. On a rise, that candle is the last down candle before the push. On a drop, it is the last up candle before the push. The order block is a zone on the chart, not a single price and not a filled order you can see. Different readers will pick different candles if the swing is messy. The name does not remove that judgment.
What an order block does not say
An order block is not support that must hold, and it is not resistance that must reject price. Price can slice through the zone. A later return into an order block is a separate event, which PatternLabs treats with the OB Mitigation filter, not with a new button. Finding an order block does not mean a trade has a positive result waiting. PatternLabs only lists pairs where the Order Block condition matches. The list is not a set of orders.
How to look for an Order Block in PatternLabs
Open PatternLabs, choose a crypto spot market or forex, and add Order Block to the filter chain on the timeframe you want. The scan returns pairs where that order block condition is present. Open a match and look at the candle the markup is using. If you want a shorter list, combine Order Block with filters already in the app, such as BOS, FVG, or Volume. The name in the app is Order Block. You do not need another label for the same zone.
How to read a match
Ask which move came after the candle, and whether that move actually broke a swing. A lonely candle with no break is not the picture this filter is about. Then look at the higher timeframe so one order block is not the whole story. PatternLabs shows the match. You decide what, if anything, to do with it. This explanation does not tell you to buy or sell, and it does not say price will return to the order block.