Smart Order Block Identifier

This custom TradingView indicator identifies and highlights Smart Money Order Blocks (OBs) based on refined multi-candle price action logic. It detects bearish and bullish order blocks using a structured pattern involving five candles. For a bearish order block, the central (OB) candle must have a high that is greater than the highs of both the candle before and after it—signaling local strength. Additionally, the high of the candle two bars after (the “next-next” candle) must be lower than the OB candle’s low, indicating a potential shift in momentum and confirming bearish intent. Conversely, a bullish order block is identified when the OB candle has a low lower than the lows of both the previous and following candle. The candle two bars later must have a low higher than the OB candle’s high, showing price rejection and a likely reversal. The indicator marks these blocks visually with boxes on the chart and optionally filters out mitigated zones.