Discussing the article: "Automating Trading Strategies in MQL5 (Part 12): Implementing the Mitigation Order Blocks (MOB) Strategy"

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Check out the new article: Automating Trading Strategies in MQL5 (Part 12): Implementing the Mitigation Order Blocks (MOB) Strategy.

In this article, we build an MQL5 trading system that automates order block detection for Smart Money trading. We outline the strategy’s rules, implement the logic in MQL5, and integrate risk management for effective trade execution. Finally, we backtest the system to assess its performance and refine it for optimal results.

To implement the Mitigation Order Blocks Strategy, we will develop an automated system that detects, validates, and executes trades based on order block mitigation events. The strategy will focus on identifying institutional price zones where liquidity is absorbed before trend continuation. Our system will incorporate precise conditions for entry, stop-loss placement, and trade management to ensure efficiency and accuracy. We will structure the development as follows:

  • Order Block Identification – The system will scan historical price action to detect bullish and bearish order blocks, filtering out weak zones based on volatility, liquidity grabs, and price imbalance.
  • Mitigation Validation – We will program conditions that confirm a valid mitigation event, ensuring that the price revisits the order block and reacts with rejection signals such as wicks or momentum shifts.
  • Market Structure Confirmation – The EA will analyze higher-timeframe trends and liquidity sweeps to ensure that the identified mitigation aligns with the broader market flow.
  • Trade Execution Rules – Once mitigation is confirmed, the system will define precise entry points, dynamically calculate stop-loss levels based on order block structure, and set take-profit targets based on risk-reward parameters.
  • Risk and Money Management – The strategy will integrate position sizing, drawdown protection, and exit strategies to manage trade risk effectively.

In a nutshell, here is a general visualization of the strategy.

Mitigation Order Block

Author: Allan Munene Mutiiria

 
Thank you Allan , nicely put together really tike the visuals and the change colour on mitigated and your handling of the arrays . Thanks for sharing 
 
linfo2 #:
Thank you Allan , nicely put together really tike the visuals and the change colour on mitigated and your handling of the arrays . Thanks for sharing 

Thanks for the kind feedback. You're welcome. 

 
It's not taking trades in the strategy tester. Default settings on all pairs.  No error messages in the journal.  Journal messages present; "No extension: Bar outside range" and "No impulsive movement detected".


 
davesarge1 #:
It's not taking trades in the strategy tester. Default settings on all pairs.  No error messages in the journal.  Journal messages present; "No extension: Bar outside range" and "No impulsive movement detected".


Did you even read the article? Because we're sure the article pretty much provides all your answers.

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