Choch Blocks

‘Change of Character’ Hugely used by professional traders although they may not have heard of it called by this term. This is where price/market structure is trending in a certain direction but price starts to reverse.

This first happens when there is a break of structure, instead of another Lower High formed, price makes a Higher High like in the image above. This is where we highlight a break of structure or some people will just refer to this as the Choch line, once we have this we can look for an Order block / supply zone below to find an entry.

This is a hugely powerful tool dating back to one of the simplest and first concepts of trading where Market structure is King.

Above is another example on BTC Daily where we can see a downtrending market structure is broken and highlighted with the ‘BOS’ Line, we are then given the Choch Long OB which was a perfect entry resulting in a 30%+ swing to the upside.

Configuration

At the top of settings you have a choice of OB you what to choose ‘Choch’ or ‘Both’ for these to be displayed, below that you will see the settings so you can edit them.

You can choose whether you calculated these blocks on the Wicks of candles or bodies. We personally like using the Bodies of the candles however the wicks do offer some interesting areas to look at.

Display

If you don’t want to see these order blocks at the top you can choose ‘None’ or the ‘Pivot’ Order blocks if you still want to see those. Below this you have all the options to be able to customise however you like with changing the bullish/bearish blocks, the text within those blocks and as well as this you can make the closed Order blocks any colour you like. If you would like the closed Order blocks to be invisible you can set the opacity to 0%in their colour settings.