Easy New 1 Minute Scalping Strategy Using Orderblocks Step By Step
In this post, I will show you how to apply this easy new 1 minute scalping strategy using orderblocks (OBs) only.
This is another scalping strategy and belongs to the same logic as other day trading strategies that I have uploaded on the Trading Strategies category.
Once again, I will first guide you through the indicators that we are going to need. In order to do that go to the TradingView platform. Once you are there, add the following indicator to your chart: The Gann box
On the image above, you can see where you can find the Gann box. We are going to need it as you will see later on. Afterwards, go ahead and click on it and click anywhere on your TradingView chart. You should have something like what you see on the image below.
Copy the settings as you can see them on the image above. We will only need the 0, the 0.5, and 1 levels added in the settings section. Now, we will move forward with the actual steps for this easy new 1 minute scalping strategy using orderblocks.
New and easy 1 minute scalping strategy using orderblocks steps
The reason for that this scalping strategy is easy, is that we are only using the 1 minute timeframe, and we only use orderblocks as our areas. Go do the 1 minute time-frame on the TradingView platform and then follow those steps:
Step 1. Identify the last orderblock and highlight it
On the image above, we see that we broke previous structure with the impulsive price movement to the downside (see Bos). Now, all we need to to in order to be able to apply this new easy 1 minute scalping strategy, is to identify the highest orderblock. In this occasion, since we are interested in selling, we identify the last bearish orderblock (pointed by the yellow arrow).
Do not get confused though. Even though it is the last bullish candlestick, we call it a bearish orderblock. The opposite would be true if we would have a break to the upside. We would highlight the last bearish candlestick, which would be called a bullish orderblock.
Step 2. Applying the Gann Box
Click on the Gann box and then click once on the top of the highlighted area, drag it, and then click once again at the bottom of the highlighted orderblock area. We are about to place our trade.
Step 3 of the easy new 1 minute scalping strategy using orderblocks. Trade placement, stop loss, and take profit
Where should you place your trade entry? We enter the trade with a limit order at the 50% level of the Gann Box. Remember, you can also use the Fibonacci Retracement Tool with the right settings in order to identify the 50% level.
In the example above, we place a sell limit order. In other words, we are telling the system that if and when price retraces to this level, we want to sell.
Place your stop loss just above the 0% level and your take profit at the beginning of the last orderblock of the opposite side. In this occasion you can see it pointed out with the yellow arrow on the bottom left of the image above. We place the stop loss at the beginning of the bullish OB.
Now I am going to take you through some more examples so that you will get a more clear understanding of this easy new 1 minute scalping strategy using orderblocks.
More examples for this easy new 1 minute scalping strategy using orderblocks
Until now, I have talked about the 1st example. I will take you through 2 more examples so that you can understand the logic behind this Easy new 1 minute scalping strategy using orderblocks.
This is the second example. We are simply following price action on the 1 minute timeframe. We see that we have broken structure not once, but twice. Nonetheless, there is only one bearish orderblock to identify.
You can see the orderblock in the highlighted area. In this case, we highlighted the bearish candlestick because this is the last up-candlestick before the break of structure to the downside.
We place our sell limit order at the 50% level of the highlighted area with the help of the Gann Box. The stop loss goes above the 0% level. In this example we were not activated into the trade. In addition to that, we broke the next structure as you can see on the image below. So, we need to adjust to the price action.
On this 3rd example, we see that we have broken structure twice. Note that we identify only the highest orderblock which is responsible for any break of structure.
In this occasion, it is the last red candlestick at the beginning of the highlighted area on the left. We also included the small part of the wick of the huge bullish candlestick (white candlestick), since this is the highest point.
Conclusion
Let’s sum up this easy new 1 minute scalping strategy using orderblocks!
We are only using the 1 minute timeframe, and we are following price action only. Once price breaks the immediate previous structure, either from the upside or from the downside, then we identify the last bullish or the last bearish orderblock respectively.
We highlight the respective orderblock, and then we apply the Gann Box on top of it. That way, we identify the 0%, the 50%, and the 100% levels.
We place a buy limit or a sell limit order at the 50% level of the highlighted area. We place our stop loss at the 0% level and the take profit at the beginning of the last orderblock of the side that we are targeting.
Here is the video on this trading strategy
Day trading strategies (including this easy new 1 minute scalping strategy using orderblocks) can be very risky if you do not control your emotions and if you do not have a strategy which is giving you a statistical advantage.
It is normal that you will go through periods of consecutive losses and consecutive wins as well. If you want to be able to calculate those aspects of trading in advance and build a robust winning strategy, then you can check out my courses.
In the courses, I teach you elaborate winning trading strategies. Furthermore, I teach you how to build a robust trading plan, starting with the importance of statistics and trading psychology. That way, you can take your trading to the next level.
As with all trading strategies presented here on ChrisFX, if you want to test them out, do so by trading with fake money, or otherwise paper money. NEVER test one of these strategies with real money. When and if you decide to do so, you do so at your own risk and I take zero responsibility for your actions.
Enjoy 🙂
