Volumetric
Order Blocks and Range Filter indicators form a strategy aims to
identify high-probability trade entries based on volume dynamics and
price action.
Step-by-Step
Setup on TradingView
Add
the Volumetric Order Blocks Indicator:
Go
to TradingView and open the Indicators search tab.
Type:
Order Blocks by Flux Chart.
Select
Order Blocks by Flux Charts from the list.
Go
to the settings of the Volumetric Order Block indicator.
Adjust
the Zone and Validation setting to Close.
Leave
all other settings at their default values.
Click
OK to confirm the changes.
Add
the Range Filter Buy and Sell 5 Minutes Indicator:
In
the Indicators search tab, type Range Filter Buy and Sell 5 Minutes.
Select
Range Filter Buy and Sell 5 Minutes from Phantom Trader.
Configure
the indicator as follows:
In
the Input tab, set the Range Multiplier value to 1.8.
In
the Style tab, remove all marks except for the Buy signal and Sell
signal marks.
Change
the color of the Buy signal to green and the Sell signal to red.
Click
OK to confirm the changes.
Trading
Strategy Rules
1.
Buy Order Setup:
Identify
Bullish Order Block:
Wait
for a green bullish order block area to form on the chart.
price
retest and rejection:
Observe
the price action to see if the candlestick retests the bullish
volumetric order block area and gets rejected.
Confirmation
with Range Filter Indicator:
Wait
for a green Buy signal from the Range Filter Buy and Sell 5 Minutes
indicator.
Ensure
the candlestick forming the Buy signal is bullish, and the volume
within the order block area is dominated by green bars.
Entry
and Risk Management:
Place
a buy order after the bullish candlestick closes.
Set
a stop loss below the bullish volumetric order block area.
Use
a take profit target with a risk-reward ratio of 1:1.5.
2.
Sell Order Setup:
Identify
Bearish Order Block:
Wait
for a red bearish order block area to form on the chart.
Price
Retest and Rejection:
Observe
the price action to see if the candlestick retests the bearish
volumetric order block area and gets rejected.
Confirmation
with Range Filter Indicator:
Wait
for a red Sell signal from the Range Filter Buy and Sell 5 Minutes
indicator.
Ensure
the candlestick forming the Sell signal is bearish, and the volume
within the order block area is dominated by red bars.
Entry
and Risk Management:
Place
a sell order after the bearish candlestick closes.
Set
a stop loss above the bearish volumetric order block area.
Use
a take profit target with a risk-reward ratio of 1:1.5.
