Understanding ICT Bullish Mitigation BlockA Bullish ICT Mitigation Block is a concept from Inner Circle Trader (ICT) methodology.
It forms at the end of a bearish trend when the price reaches a strong bullish institutional reference point, such as a bullish order block or breaker block.
Formation: It occurs when the price fails to create a lower low in a bearish trend and instead reverses to shift the market structure to the bullish side.
Identification: Look for a price level where the market attempted to break lower but was halted by significant buying pressure.
Trading Implications: This area can serve as a strong demand level, from which the price can rally further stronger because of short traders exit and long traders enter at the same area.
Multi Time Frame Analysis:
Higher Time Frame - H4
Lower Time Frame - M15
Institutional Framework:
Price Expansion (MMXM Buy Model)
Institutional Reference Points:
Bullish Mitigation
Sell Side Liquidity (SSL)
Mitigationblock
NAS100USD: Bullish Setup with Key Support Zones in FocusGreetings Traders!
Current Outlook📊:
NAS100USD is displaying bullish institutional order flow, signaling a strong upward trend. Following this momentum, I am focusing on buying opportunities to target the liquidity pool at the swing high.
Key Confluences🔗:
Support Zone : Price has retraced into a significant area marked by the alignment of a mitigation block and a Fair Value Gap (FVG).
Scalping Potential : This zone serves as an institutional support area, offering confidence to seek confirmation entries for bullish setups.
Feel free to share your analysis, discuss insights, or ask questions below in the comments. Let’s learn and grow together!
Best Regards,
The_Architect
Indentifying Bullish/Bearish Orderblocks & Mitigation Blocks Orderblocks and Mitigation Block Live Study - Looking at live example going back to early May of 2010. There was news on May 6th that caused the market to plunge but interestingly enough - Price Action manages to be find a floor around the Orderblocks indentified on the Daily, Weekly, and Monthly Charts (HTF)
ICT Breaker & Mitigation Blocks EXPLAINEDToday, we’re diving into two powerful concepts from ICT’s toolkit that can give you an edge in your trading: Breaker Blocks and Mitigation Blocks. There are one of my favourite PD Arrays to trade, especially the Breaker Block. I’m going to explain how I interpret them and how I incorporate them into my trading. Stay tuned all the way to the end because I’m going to drop some gold nuggets along the way"
Ok, so first of all let’s go through what both these PD Arrays look like and what differentiates them, because they are relatively similar and how they are used is practically the same.
On the left we have a Breaker Block and on the right a Mitigation Block. They both are reversal profiles on the timeframe you are seeing them on, and they both break market structure as you can see here. The actual zone to take trade from, or even an entry from, in the instance of this bearish example is the nearest down candle or series of down candles after price makes a lower low. When price pulls back to this area, one could plan or take a trade.
The defining difference is that a Breaker raids liquidity on its respective timeframes by making a higher high or lower low before reversing, whilst a Mitigation Block does not do that. For this reason, a Breaker is always a higher probability PD Array to trade off from. As you should know by now if you are already learning about PD Arrays such as these is that the market moves from one area to liquidity to another. If you don’t even know what liquidity is, stop this video and educate yourself about that first or you will just be doing yourself a disservice.
Alright, so let’s go see some real examples on the chart. Later on I’ll give you a simple mechanical way to trade them, as well as a the discretionary approach which I use. And of course, some tips on how to increase the probability of your setups.
GBPUSD: Continuation of Momentary Bullish Order-Flow!Greetings Traders!
Current Market Analysis:
At the moment, GBPUSD is showing bullish momentum, particularly on the smaller timeframes. This is due to the inefficiency (liquidity void) present before the H4 bearish order block. The market strives for efficiency, and thus returns to fill these inefficiencies over time. I anticipate a continuation towards the H4 bearish order block.
Key Observations:
Confluence Factors: The H4 mitigation block is aligned with the H1 bullish order block, creating a strong institutional support zone. This alignment supports a risked entry towards the upside.
Risked & Confirmation Entry Strategy: I will take a risked entry on the H1 order block, However if the price takes out the H1 sell stops, I will consider a confirmation entry towards the upside.
Target Levels:
Engineered Trendline Liquidity: The price has created trendline liquidity, which we expect the market to absorb.
H4 Bearish Order Block: The main target is the H4 bearish order block, a strong draw due to the liquidity void present before it.
Trading Strategy:
Institutional Support Zone: Entering at the institutional support zone provided by the H4 mitigation block and H1 bullish order block alignment offers a strategic buying opportunity.
Upside Targets: The primary targets are the engineered trendline liquidity and the H4 bearish order block. These targets are in line with the bullish draw on liquidity.
Conclusion:
By understanding the momentary bullish institutional order flow and leveraging key support and resistance levels, we can anticipate and execute trades on GBPUSD effectively. The confluence of the H4 mitigation block and H1 bullish order block provides a robust support zone, guiding our strategy towards profitable buying opportunities.
For a comprehensive understanding of why I have been looking for a bullish draw this week on GBPUSD, please follow this link to a detailed post.
Happy Trading,
The_Architect
GBPUSD: Potential Buy Opportunity in London SessionCurrently, I'm observing a resistance point that the m15 timeframe is likely to approach which has m15 premium Buy Stops which is my Draw On Liquidity. Price is currently situated at an m15 mitigation block, which could serve as a strong support zone for the market to advance further.
Kind Regards,
The_Architect
Bearish March for $SPYI have strong belief that it will be a good time to short the market in March. Last month $SPY went up to grab liquidity(short stops) from the recent high of December at $410 with a lack of displacement. AMEX:SPY also came back to test a mitigation block that was formed at the beginning of the bear run in Feb. 2022.
If it closes the month of March below the next recent high, which would be 431.73, I will be looking to short with a target around $348
Short Scalp After Daily Bias Order Flow Shift BearishBias: Bearish Daily
Plot:
Price weakens and shown signs of reversal to seek sell-side liquidity after hitting an old Order Block as Resistance.
Price Daily TF forms lower high.
Price has never confirmed with Asia's 50% if may continue bullish.
Price strongly seeks sell-side liquidity until Daily TF Shifts Bullish again, but not likely as price had been going high for over a week without any good retracement.
Entry was an ICT Mitigation Block. Confirmation once price hits the Propulsion block and confirms moving downside.
GU Long Opportunity, 1:7 AvailableMorning ladies and gents,
With EURGBP weakness, pushing downwards off the H4 Bearish Orderblock and EURUSD pushing downwards off the D1 Bearish Orderblock. It's possible to assume that G strength is imminent.
Above we see three sets of equal highs being created, this is a high volume area that price was likely to reach into.
GU traded down into our D1 Mitigation Block.
Coming out of Asia we see a break in the bearish structure on the lowertime frames. After stop hunting below the lows of asia, price is now ready to move to the upside and take out the liquidity resting above the H4 highs as indicated by my take profit situated around the 1.4000 region.
Best of luck.