ICT Breaker Blocks [Exponential-X]

🔄 Breaker Blocks

Overview
Breaker Blocks automatically identifies failed order blocks that have reversed their polarity. When an order block gets broken, it often becomes a powerful support or resistance zone in the opposite direction. This indicator tracks these institutional "flips" based on ICT (Inner Circle Trader) concepts, helping identify where price is likely to find strong support or resistance after a structural break.

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🎯 What This Indicator Does

Detects Breaker Blocks:
• 🔵 Bullish Breaker Blocks (BB+) - Failed bearish order blocks that became support
• 🟣 Bearish Breaker Blocks (BB-) - Failed bullish order blocks that became resistance
• Tracks order blocks first, then monitors when they break
• Converts broken order blocks into breaker blocks automatically
• Shows when breakers get tested by price

How Breakers Form:
1. Order block forms (last opposite candle before strong move)
2. Price returns and breaks through the order block
3. Broken order block becomes a breaker block with flipped polarity
4. Old resistance becomes new support (or vice versa)

Visual Display:[/b>
• Cyan/Aqua Dashed Boxes = Bullish Breaker Blocks (support)
• Fuchsia/Purple Dashed Boxes = Bearish Breaker Blocks (resistance)
• Dotted Border = Already tested breaker
• BB+ / BB- Labels = Quick identification
• 🎯 Emoji = Active block nearest to price

Smart Features:
• Auto-timeframe adjustment for optimal detection
• ATR-based strength filtering
• Active block highlighting
• Test tracking
• Distance calculator
• Duplicate prevention

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📚 Understanding Breaker Blocks

What Are Breaker Blocks?

Breaker blocks are failed order blocks that price has broken through. In ICT methodology:
• When institutions place orders creating an order block
• If that level fails and price breaks through
• The zone often becomes strong support/resistance in the opposite direction
• This represents institutional position flipping

Why Breakers Form:

• Failed Defense: Institutions couldn't defend the original level
• Position Flip: Institutions reversed their position
• Stop Hunt Complete: After sweeping stops, new levels form
• Polarity Change: Old resistance becomes new support (or vice versa)

Key Difference From Order Blocks:[/b>

• Order Block: Original institutional level (unbroken)
• Breaker Block: Failed order block that flipped polarity
• Breakers often provide STRONGER reactions than original OBs
• Represents where institutions changed their strategy

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🔵 Bullish Breaker Blocks Explained

Formation Process:

1. Step 1: Bearish order block forms (last bullish candle before drop)
2. Step 2: Price breaks ABOVE this bearish OB
3. Step 3: The broken bearish OB becomes a bullish breaker
4. Step 4: Now acts as SUPPORT when price returns

What It Means:

• Old resistance level failed
• Institutions flipped from selling to buying
• When price returns, zone acts as strong support
• Higher probability long setup than regular support

Trading Bullish Breakers:

Entry Setup:
• Wait for price to retrace back to bullish breaker
• Look for rejection/bounce from the breaker zone
• Enter long when price respects the breaker as support
• Stop loss: Below the breaker block
• Target: Recent high or opposite breaker

Why It Works:
Failed resistance becoming support is a strong technical signal indicating structural change in market sentiment.

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🟣 Bearish Breaker Blocks Explained

Formation Process:

1. Step 1: Bullish order block forms (last bearish candle before rally)
2. Step 2: Price breaks BELOW this bullish OB
3. Step 3: The broken bullish OB becomes a bearish breaker
4. Step 4: Now acts as RESISTANCE when price returns

What It Means:

• Old support level failed
• Institutions flipped from buying to selling
• When price returns, zone acts as strong resistance
• Higher probability short setup than regular resistance

Trading Bearish Breakers:

Entry Setup:
• Wait for price to retrace back to bearish breaker
• Look for rejection/reversal from the breaker zone
• Enter short when price respects the breaker as resistance
• Stop loss: Above the breaker block
• Target: Recent low or opposite breaker

Why It Works:
Failed support becoming resistance indicates structural change and often leads to continuation moves.

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📊 How To Use This Indicator

Strategy 1: Breaker Block Retest
Timeframes: 15min, 1H, 4H
Style:[/b> Swing trading, reversal entries

Rules:
1. Identify active breaker block (bright color, not gray)
2. Wait for price to return to the breaker zone
3. Look for reversal confirmation (pin bar, engulfing, rejection)
4. Enter in the direction the breaker suggests
5. Stop: Beyond opposite side of breaker
6. Target: 2-3R or previous structure

Example - Bullish Breaker:
• Bullish breaker at $48,000-$48,500
• Price drops to $48,200 (enters breaker)
• Bullish pin bar forms
• Enter long at $48,600, stop at $47,800
• Target: $50,000+

Strategy 2: Multi-Timeframe Breakers
Timeframes: Combine 1H + 4H or 15min + 1H
Style:[/b> High-probability setups

Rules:
1. Identify breaker on higher timeframe (4H or Daily)
2. Switch to lower timeframe (1H or 15min)
3. Look for lower TF breaker WITHIN higher TF breaker
4. Trade the lower TF breaker in same direction as HTF
5. Stop: Below lower TF breaker
6. Target: Edge of higher TF breaker or beyond

Why It Works: Alignment across timeframes increases probability

Strategy 3: Breaker + Order Block Confluence
Timeframes: 1H, 4H
Style: High-conviction trades

Rules:
1. Find breaker block that overlaps with fresh order block
2. This creates double institutional zone
3. Wait for price to reach confluence area
4. Enter on first touch with confirmation
5. Stop: Beyond confluence zone
6. Target: 3-5R

Why It Works: Two ICT concepts aligned = maximum probability

Strategy 4: Breaker Breakout
Timeframes:[/b> 5min, 15min, 1H
Style: Trend continuation

Rules:
1. Price approaches breaker block
2. Instead of respecting it, price breaks THROUGH
3. This indicates very strong momentum
4. Enter breakout in direction of break
5. Stop: Back inside the breaker
6. Target: 2-3R

Why It Works: When breakers fail, momentum is extremely strong

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⚙️ Settings Explained

Core Settings

Auto-Adjust for Timeframe (Default: ON)
• Automatically optimizes detection for current chart
• 1min: 3 bars lookback
• 5min: 4 bars lookback
• 15min: 5 bars lookback
• 1H: 6 bars lookback
• 4H+: 8-12 bars lookback
• Recommended: Keep ON

Manual Detection Length (Default: 5)
• Only used when Auto-Adjust is OFF
• Lookback period for finding order blocks
• Lower = more sensitive
• Higher = more selective

Display Settings

Show Bullish/Bearish Breaker Blocks
• Toggle each type independently
• Customize colors (default: cyan and fuchsia)
• Tip: Use colors that stand out from order blocks

Max Breaker Blocks to Display (Default: 10)[/b>
• Limits visible breakers
• Lower (5-8): Cleaner chart
• Higher (15-30): More context
• Recommended: 10-15

Show Breaker Block Labels[/b>
• Displays BB+ and BB- text
• Shows 🎯 on active (nearest) breaker
• Turn OFF for minimal appearance

Extend Blocks (bars) (Default: 50)
• How far to extend boxes to the right
• Recommended: 40-60 bars

Filters

Block Strength Filter (Default: Medium)
• Low: 0.5x ATR - More breakers, more noise
• Medium: 1x ATR - Balanced
• High: 1.5x ATR - Only strongest breakers
• Note: Breakers are naturally less common than OBs
• For learning: Use Low to see more examples
• For trading: Use Medium or High

Min Block Size % (Default: 0.1)
• Minimum breaker size as % of price
• Filters tiny insignificant blocks
• Adjust based on instrument volatility

Advanced

Show Tested Blocks (Default: OFF)[/b>
• When ON: Shows gray boxes for tested breakers
• When OFF: Breakers disappear after test
• Use ON: For learning and analysis
• Use OFF: For clean active trading

Highlight Active Block (Default: ON)
• Highlights nearest breaker to current price
• Active block shown with brighter color and 🎯
• Recommended: Keep ON

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📱 Info Panel Guide

Bullish BB Count[/b>
• Number of active (untested) bullish breaker blocks
• More bullish breakers = More support zones below

Bearish BB Count
• Number of active (untested) bearish breaker blocks
• More bearish breakers = More resistance zones above

Bias Indicator[/b>
• ⬆ Bullish: More bullish breakers (support > resistance)
• ⬇ Bearish: More bearish breakers (resistance > support)
• ↔ Neutral: Equal breakers on both sides

Near Indicator
• Shows nearest active breaker and distance
• Example: "Bull BB -1.5%" = Bullish breaker 1.5% below price

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📱 Alert Setup

This indicator includes 2 alert types:

1. Price Entering Bullish Breaker[/b>
• Fires when price touches bullish breaker block
• Action: Watch for bounce/support

2. Price Entering Bearish Breaker
• Fires when price touches bearish breaker block
• Action: Watch for rejection/resistance

To Set Up Alerts:
1. Click "Alert" button (clock icon)
2. Select "Breaker Blocks"
3. Choose alert type
4. Configure notifications
5. Click "Create"

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💎 Pro Tips & Best Practices

✅ DO:

• Wait for confirmation before entering at breakers
• First touch of breaker has highest reliability
• Use breakers with trend direction for best results
• Combine with order blocks and FVGs for confluence
• Check multiple timeframes for breaker alignment
• Respect breakers - they're stronger than regular S/R
• Use proper stop placement beyond the breaker

⚠️ DON'T:

• Don't trade every breaker - quality over quantity
• Don't ignore breaker breaks - very strong momentum signal
• Don't use tight stops - allow room for wicks
• Don't expect all breakers to hold
• Don't trade against strong momentum through breakers
• Don't confuse breakers with regular order blocks

🎯 Best Timeframes:

• Scalping: 5min, 15min (quick breaker tests)
• Day Trading: 15min, 1H (balanced)
• Swing Trading: 1H, 4H, Daily (major breakers)

🔥 Best Markets:

• Excellent: BTC, ETH, Forex majors, ES, NQ
• Good: Gold, Oil, Major indices
• Note: Breakers need volatility to form

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🎓 Advanced Concepts

Breaker Strength Hierarchy

From weakest to strongest:
1. Support/Resistance lines
2. Order Blocks (unbroken)
3. Breaker Blocks (broken OBs) ← Often strongest
4. Multiple breakers stacked together

Breaker vs Order Block Priority

If breaker and order block overlap:
• Breaker takes precedence
• Failed levels are more significant
• Price respects breakers more reliably

Nested Breakers[/b>

When lower timeframe breaker exists within higher timeframe breaker:
• Trade lower TF breaker first
• Use higher TF breaker as final target
• Highest probability setups

Multiple Breaker Tests[/b>

• First test: Highest probability
• Second test: Still valid but weaker
• Third test: Likely to break through

Breaker Breakouts[/b>

When price breaks through breaker:
• Extremely strong momentum signal
• Old level completely invalidated
• Trade the breakout aggressively

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📈 Common Patterns[/b>

Pattern 1: The Perfect Flip
• Bearish OB forms
• Price breaks above it cleanly
• Becomes bullish breaker
• First retest bounces perfectly
• High-probability setup

Pattern 2: The Double Break
• Bullish OB breaks down (becomes bearish breaker)
• Price tests it and rejects
• Later breaks back up through breaker
• Very strong momentum signal

Pattern 3: The Breaker Ladder[/b>
• Multiple breakers stacked like stairs
• Price bounces from one to next
• Each breaker provides support/resistance

Pattern 4: The Failed Breaker
• Breaker forms but gets broken immediately
• Shows extreme momentum
• Don't fight it - trade the breakout

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🙏 If You Find This Helpful

• ⭐ Leave your feedback
• 💬 Share your experience in the comments
• 🔔 Follow for updates and new tools

Questions about breaker blocks? Feel free to ask in the comments.

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Version History[/b>
• v1.0 - Initial release with auto-timeframe detection and polarity flip tracking