TRADING INSIDE THE OB ZONES (PART ONE)
(FULL BACKTESTING AND EXPLANATION)
Backtesting 1 — buy trade (successful)
USDJPY 13 JULY 2023
1hr timeframe
We have the Mss(Market Structure Shift) which makes the low that causes the MSS an orderblock.
15min timeframe
We have a 15min OB — A low that causes BOS becomes an OB which made us refine the OB to align with 1hr OB.
We have BOS and CHOCH/MSS as described in the image then
we have 2 lower highs that was broken with a rallybase rally.
5min timeframe
We have 5min MSS which confirms our bullish run
END RESULT (5min timeframe )
Price moved well with 40-50pips
END RESULT ( 15min Timeframe)
Backtesting 2 — buy trade (successful)
NZDCAD 14 JULY 2023
1hr timeframe
There is no OB because there is no mss/bos
30min timeframe — 30min demand zone/orderblock
There is an OB on 30min timeframe
We have BOS AND CHOCH
After the choch, price breaks the lower high that gave us that choch with a big Rally move.
15min timeframe
After the 30min choch we have a
15min bos and choch, we also have two lower highs broken with a ralky base rally
5min timeframe
We have 5min MSS, combine with two bos and choch/mss.
END RESULT (5min timeframe)
Price moved well with 30pips
END RESULT (15min Timeframe)
END RESULT (30min Timeframe)
Backtesting 3 — buy trade (successful)
EURJPY — 19 Jan 23
1hr timeframe
We have an Order block
30min timeframe
Inside the demand zone, we have 30min bos/choch with mss
15min timeframe
To confirm our entry we had to look at the 15min timeframe .
15min MSS, bos and choch confirms a bullish run
30min timeframe
Setting stoplosses and take profit
END RESULT- 3Omin Timeframe
Price moved with over 300pips
Backtesting 4 — buy trade (failed)
EURJPY — 26 Jan 23
1hr timeframe
We have 1hr ob
15min timeframe
Price did not break the second lowerhigh though it gave us two lowerhighs and mss but it did not breaks the second lowerhigh
15min timeframe
So price failed because it did not breaks the second lower high but gave us little profit
INSIDE THE 1HR OB
EURJPY — 26 Jan 23
(Buy trade — successful)
Continuation
1hr timeframe
After price failed, price moved to our 1hr timeframe orderblock
15min timeframe
On the 15min timeframe, market breaks the two lower highs with rally Base Rally thereby giving us 15min Mss
NOTE: whenever there is 15min MSS inside 1hr demand zone/ob There is potential for a good buy combined with a break of two lower highs
1hr timeframe
Take profit at the OB
END RESULT (1HR TIMEFRAME)
Price moved with 60pips
Don’t reentry, to reenter you must set a zone and see how price behaves in that zone
Backtesting 5 _ buy trade (successful)
EURJPY — 30 Jan 2023
1hr timeframe
We had an OB because the low of the price gave us an mss or choch to the uptrend
30min timeframe
30min timeframe ob corresponds with 1hr timeframe ob so we refine our OB
15min timeframe
We have 15min Mss but the price did not hit our OB, so it is high risk trade
1hr timeframe
Take profit and buy zone set
End result — 1hr timeframe
Price moved with 80 pips
Backtesting 6 — buy trade (successful)
EURJPY — 1 Feb 2023
1hr timeframe
1hr Ob is the low that causes the bos
30min timeframe
Two lower highs after the mss.
The second lower high has been broken with a rallybase rally after the price touches the Ob zone
15min timeframe
Price broke the second lower high and that gave us 15min mss.
End result — 15min timeframe
Price moved with 55pips in profits
End result 30min timeframe
End result — 1hr timeframe
Backtesting 7 — buy trade (failed)
EURJPY — 23 Feb 2023
2hr timeframe
We have bos/choch and we also have OB in which price had touched the ob and has given us a 2hr mss. And also the two lowerhighs were broken with a huge rally
1hr timeframe
We also see a bos and mss which confirms a bullish run
15min timeframe
On the 15m chart, there was no bos/choch, though we have mss, we only add choch and mss which makes it an high risk trade
End result — 15min timeframe
Setup failed because there was no potential rally base rally that could hold the retracement
Backtesting 8 — buy trade (successful)
EURJPY —
23 -24 July 2023 (Asia session)
3hr timeframe
We have a demand zone because of the rally base rallybase
1hr timeframe
Two lower highs where broken with a Rally base rally and there was a sweep of the demand zone
30min timeframe
When there is a 30min bos and choch on an higher timeframe demand zone , there is a high potential for a bullish run and in addition , price sweep the demand zone
End result- 30min timeframe
Price moved with over 100pips
End result- 1hr timeframe
Backtesting 9 — sell trade (successful)
EURJPY — 1- 2 March 2023
1hr timeframe
An high that gives us bos/choch or mss becomes an orderblock
30min timeframe
Inside the OB, we have 30min bos and choch which confirms a bearish movement
End result — 30min timeframe
Price moved with 120 pips
Backtesting 10 — buy trade (failed)
EURJPY — 8–9 March 2023
1hr timeframe
We have an OB
15min timeframe
On the 15min timeframe entry we need to wait for a bos and choch but we only had bos
5min timeframe
Price gave us mss, which was a fake out. We were expecting choch on the 15min timeframe
End result- price failed — 15min timeframe
Price failed because we only had bos in the 15min timeframe, no choch
End result- 5min timeframe
Backtesting 11 — Eurjpy (buy trade) (successful)
Eurjpy — 9-10 March 2023
4hr timeframe
4hr Demand Zone and 1hr ob
1hr timeframe
Market sweep the 4hr demand zone and gave us 1hr mss
30min/15min timeframe
There is an mss/choch and also a bos that breaks the previous high as shown on the chart which signifies a bullish momentum
End result- 30min timeframe
Price moved with 90pips
End result- 4hr timeframe
Backtesting 12 — (buy trade) (successful)
Eurjpy 13 March 2023
1hr timeframe
We have a lower high that was broken with a Rally base rally after the 1hr mss
30min timeframe
There is bos and choch. When there is bos and choch on 30min tf , there is higher chances the trade will be bullish.
15min timeframe
We have bos and choch , breaker block, 5min ob was used as entry
End result- 15min timeframe
Price moved well with 80pips profit
You want to reentry for buy?
Nope
End result (1hr timeframe)
Price moved in profit (80pips) before the bearish move
Backtesting 17 (buy trade — failed)
Eurjpy 15–16 March 2023
4hr timeframe
Inside the 4hr Demand Zone
15min timeframe
We have 15min mss and 30min choch
Trade hits stoploss.
Why?
Because if we are trading a zone like 4hr or 3hr Demand Zone we have to wait for a 30min bos and choch
