Before every big reversal… this happens first

Dec 02, 2025 4:58 am

Dear ,


Welcome to Day 4 of our technical series.


Today, we’ll learn something that helps you catch clean reversals

without indicators, guessing, or prediction.


It’s called a Breaker Block,


And I’ll explain it as simply as possible.


DAY 4 TOPIC: Breaker Blocks


A Breaker Block is basically a trap zone.


It shows where the market:

  • went in one direction,
  • failed,
  • and then moved strongly in the opposite direction.

This failed zone becomes a powerful reversal level.


You will see reactions from this level again and again.


Let’s break it down step by step


Step 1: Identify the “Failed Move”

Look for a place where:

  • Price tried to go UP but failed
  • or
  • Price tried to go DOWN but failed

This failed push usually forms a small order block like candle.

This is your first clue.


Step 2: Wait for the Opposite Break

If the market fails to go up,

it will break down with strength.

If it fails to go down,

it will break up with strength.

This big opposite move confirms the breaker.


Step 3: Mark the “Breaker Candle”

This candle becomes your Breaker Block.


Meaning:

  • In a down move, mark the last GREEN candle
  • In an up move, mark the last RED candle

This candle is where retail traders got trapped

And big players reversed the market.


Step 4: Your Entry Point

Now wait for the price to come back to this breaker candle.


When price retests this candle:

It usually reverses again

giving you a clean entry

with very small stop-loss


Entry trigger:

  • rejection wick
  • engulfing candle
  • bearish signal on bearish breaker
  • bullish signal on bullish breaker

Simple, clean trade.


Step 5: Stop-Loss & Target


Stop-Loss:

Just above the breaker candle (for short)

Just below the breaker candle (for long)


Target:

  • 1:2 minimum
  • Next structure zone (Swing)
  • Or the opposite swing point

Reversal trades give very high RR.


Why This Works

Because the breaker block shows where:

  • Retail traders were trapped
  • Institutions reversed the price
  • liquidity was taken
  • Strong orders were placed

When price returns there,

Big players defend that zone again.


This creates a beautiful reversal opportunity.


It's time to Backtest now.

Open your chart and find:

  • a failed breakout
  • a strong opposite move
  • the breaker candle
  • the retest

You will see the reversal clearly.


If you are having difficulty understanding this, then please read the email again and again and try to identify the scenario in the chart.


Otherwise, please reply to this email so that I can create a Video on YouTube on the same topic.


With Love & Respect

Samir

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