Supply and Demand
Before price can make an impulsive move in one direction, it usually spends time resting somewhere first, a stretch of chop where buyers and sellers are roughly matched, and that resting spot is what a supply or demand zone marks. It’s a close cousin of the order block, covering the same underlying idea, but drawn around the whole base rather than a single candle. What the zone represents A demand zone: the ranging base before an impulsive rally. A supply zone is the same idea before an impulsive decline. ...