RSI Volume Order Blocks

Overview

This script builds structured order blocks using a combination of RSI pivots, price structure, and optional volume/ATR-based scaling.
It is designed to create a clean, explainable map of support/resistance levels that respond only to meaningful momentum shifts rather than small, insignificant oscillations.

Core Idea

Traditional order blocks rely solely on price highs/lows, which often produces excessive or noisy zones.
This model instead:

Detects pivot highs/lows on the RSI (controlled by RSI Length and Sensitivity).

Generates bearish order blocks from RSI pivot highs and bullish order blocks from RSI pivot lows.

Allows the user to choose whether blocks are based on candle bodies or the full candle range.

Optionally filters blocks so that:

bearish OBs form only when RSI is above an overbought threshold,

bullish OBs form only when RSI is below an oversold threshold.

The resulting zones represent areas of momentum exhaustion and imbalance rather than random price fluctuations.

Volume–ATR Height Mode

The script offers two approaches for block height:

1. Price Candle Mode

Block height equals either:

the candle body, or

the full high–low range of the pivot bar.

2. Volume–ATR Mode

Block height is adaptively scaled using:

ATR (ATR Length for Height),

relative volume compared to a baseline (Volume Baseline Length),

a global height multiplier.

This makes zones thicker when the pivot candle had both higher volatility and above-average volume, and thinner when market participation was lower.

Lifespan and Mitigation

Each block extends forward in time until price mitigates it.

Mitigation Method: Close

Bearish OB is removed when a candle closes above its top.

Bullish OB is removed when a candle closes below its bottom.

Mitigation Method: Wick

Bearish OB is removed when a wick breaks above the top.

Bullish OB is removed when a wick breaks below the bottom.

Additional controls:

Maximum number of stored OBs per side.

Maximum number of displayed OBs per side.

Overlap filtering to avoid redundant zone stacking.

Main Inputs (Summary)

RSI Length – standard RSI lookback.

RSI OB Sensitivity – pivot aggressiveness (higher = fewer, stronger pivots).

Overbought/Oversold Levels – thresholds for optional filters.

RSI Filter –

bearish OB only if RSI > overbought,

bullish OB only if RSI < oversold.

Order Block Style – candle body or full range.

Mitigation Method – close-based or wick-based.

OB Height Mode – price candle or volume–ATR scaling.

Volume Baseline Length, ATR Length for Height, Height Scale – parameters for adaptive height mode.

Show Bullish / Bearish OBs – toggles for each side.

Color settings for zone visualization.

How to Use

Typical workflows include:

Using higher-timeframe OB zones as structural support/resistance, then refining entries on lower timeframes.

Watching for price reactions inside thick Volume–ATR zones, which may indicate areas of strong participation.

Combining this tool with trend filters, volume metrics, or price action confirmation (e.g., rejection wicks or engulfing patterns).

This script does not generate automated entries/exits; it is a contextual mapping tool designed to highlight where meaningful imbalance likely originated and where reactions may occur.

Notes

Works on any symbol and timeframe available on TradingView.

Most effective when combined with disciplined risk management and a defined trading plan.

Provided for research, chart analysis, and backtesting.

Disclaimer

This tool is for educational and informational purposes only.
It does not constitute financial advice or a recommendation to buy or sell any asset.
Always perform your own analysis and manage risk appropriately.