To simplify the concept of key order blocks in forex trading, think of them as specific price zones where significant buying or selling activity has previously occurred, indicating strong interest from banks or large institutional traders. These zones often act as turning points in the market, providing traders with potential entry or exit points. Identifying these blocks involves looking for areas where a sharp price movement has originated, suggesting that major players may re-enter or defend their positions if prices return to these levels, thereby influencing the market's direction again.
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