--- title: 'Breaker Block from Scratch in 15 Minutes - The Nightmare of SMC Trading! How to Understand Trading' source: 'https://youtube.com/watch?v=fFTfMn73WGQ' video_id: 'fFTfMn73WGQ' date: 2026-08-04 duration_sec: 840 --- # Breaker Block from Scratch in 15 Minutes - The Nightmare of SMC Trading! How to Understand Trading > Source: [Breaker Block from Scratch in 15 Minutes - The Nightmare of SMC Trading! How to Understand Trading](https://youtube.com/watch?v=fFTfMn73WGQ) ## Summary This video explains the concept of a 'breaker block' in SMC (Smart Money Concepts) trading, which is a zone that forms after a market structure shift and acts as a trap for traders who expect a simple order block retest. The presenter clarifies the mechanics, how to identify bullish and bearish breaker blocks, and why they are a nightmare for SMC traders. The tutorial includes theoretical explanations, chart examples, and practical tips for trading these zones. ### Key Points - **The Problem with SMC Traders** [00:01] — Most traders using SMC concepts lose money because they see a breakdown of structure, wait for an order block rollback, and get taken out. They don't understand what a breaker block is. - **What Really Happens** [01:28] — Price goes up, but then a market structure shift occurs, causing a downward rollback. The previous support zone becomes resistance, and price continues lower, trapping traders who expected an order block. - **Definition of Breaker Block** [02:19] — A breaker block is responsible for a change in market structure (MSS). There is no breaker block without a change in market structure. It is not the same as a failed order block. - **Bullish Breaker Block Formation** [03:15] — In a bullish breaker block, the pattern is low, high, lower low, higher high. The breaker block is the lowest candle with a bearish close before the low was broken. After a new high, price retraces to this zone, which becomes support. - **Bearish Breaker Block Formation** [05:09] — In a bearish breaker block, the pattern is high, low, higher high, lower low. The breaker block is the topmost candle with a bullish close before the high was broken. After a new low, price retraces to this zone, which becomes resistance. - **Logic Behind the Trap** [07:09] — Price forms a low, longs are opened expecting a move up, but price breaks new high then reverses and breaks new lows, hitting stops. This is why it's a trap for SMC traders. - **Chart Example: Bullish Breaker Block** [08:17] — On the EUR/USD chart, a bullish breaker block is identified with the pattern low, high, lower low, higher high. The zone is determined by the body of the candle, and if the candle is large, the shadow is included. Entry is at the retest, stop behind the shadow, target 1:2 or 1:3. - **Chart Example: Bearish Breaker Block** [10:20] — A bearish breaker block is shown with the pattern high, low, higher high, lower low. Price returns to the previous support zone, which becomes resistance, and then continues lower. - **Importance of Practice** [11:57] — The presenter emphasizes spending hours on practice and training before risking money. He suggests investing in education and then practicing, rather than jumping into trades and getting burned. ### Conclusion Understanding breaker blocks is crucial for SMC traders to avoid common traps. By identifying these zones correctly, traders can improve their entry points and risk management. The video encourages viewers to practice and learn more through additional resources. ## Transcript block. This is a great entry model, but there is a problem. Most traders who trade using the sports concept constantly lose on the same thing. They see a breakdown of the structure, wait for a Worderblock rollback, and they are taken out. This happens over and over again. Does this sound familiar to you? Why do you think this happens? I'll explain. Because they don't understand what a breakblock is. This is the mechanics behind every And today I will explain what it is, how to find it and why without it you are trading blind. Be sure to watch this video to the end, and you will stop wasting everything you can find more useful information about trading on my Telegram channel and in the free trading community. Link in the description. Well, now let's go and look into it in detail. [music] a breaker block is and why it's a nightmare for SMC traders. And, actually, in the understanding of SMC traders, how does this actually happen, right? That is, we are going up, we are experiencing a Break of Structure, and for understanding, right? That is, we break through our specific level there, and then we experience a rollback. And we are talking about this a-a [music] we are having a retest. And, accordingly, here we have an order block formed. Well, at least that's how SMC traders understand it. And, accordingly, after this, they go long in anticipation of the price breaking through, ah, phai, and going upwards. And, actually, everything is great in chocolate. But what's really going on? Yes, indeed, the price goes up, but after that, a, market structure [music] shift happens. This is a change in the market structure. That is, we are experiencing a downward rollback, we have new barks. And so, accordingly, this zone becomes, if before it was a support zone, yes, support, now it becomes a zone of resistance, so to speak, and, accordingly, we reach it and after that we go reach it and after that we go even lower. That's basically why, yes, even lower. That's basically why, yes, nightmare for SMC traders. This is a basic understanding, yes. Now let's take a deeper look at what a breakerblock is. So, a that is responsible for a change in the market structure, that is, Market Structure Shift or MSS. So that you understand in the future, yes, if you see or hear these words or abbreviations. It is important to understand that there is no breaker block without changes [music] in the market structure. These two concepts, two definitions in general, and in general what is happening in the market, go hand in hand. Here. And it is important to understand that a breaker block is not the same as a failed order block. This is a completely different story, a completely different understanding, definition, there, concept, call it what you want. Here. Now let's look at it in more detail, yes, I'll show you what it looks like. And then after this, after the theoretical basis, we will move directly to the graph. And after that you will see what it looks like in real life. That is, in the basic simple definition, what happens is that as high goes, then low goes, [the music] goes high, high, lower, low. Well, essentially, it’s the same as what I showed above, yes. In our case, the breaker block will essentially be the lowest candle with a bearish close, with the last swing close before it was broken. Here. That is, here after this we make a new lower low. Ah, and here we have a zone of, as it were, and from it we will enter short in the future. But at first it’s remember things. That is, the same thing happened to me at first . And it really helps when you just go to the chart and start hearing, like, say high, low, high, high, low, right? That is, it may first this is a very good exercise to simply set up, so to speak, your mindset, and settings so that the eyes determine more settings so that the eyes determine more automatically, yes, in general such a pattern. Well, I am also attaching the English definition, yes, perhaps it will be more convenient for someone. It's important to understand that there 's not much content in Russian, and translations are needed, and in some cases it might be easier for someone to understand and follow, yes, and for some training it might be easier in English. Here. And this is a simple option in general, how it looks in the basic iteration. It can also be, well, much more complicated. That is, we can have, [music] a, here, uh, go down , go up, but somehow, invariably, all the same, this zone of ours, it will be a right here, yes. This is just so you understand how [the music] is based on this. And then we go, and, accordingly, a bullish, and, a bullish breaker block is, accordingly, the topmost candle with a bullish close in the last swing high before the low was broken. That is, accordingly, we have low, high, lower, low, higher, high. And, accordingly, we have the topmost swing high. [music] And before low was broken. Here. And, accordingly, after this, after the formation of a new high, we roll back here. This is already reaching our zone. That is, if earlier it was a zone of resistance, it becomes a zone of support. From this we can now safely enter into a long position. That is, [music] and here we can calmly place a stop just below our breaker and then calmly go and aim for two, and [sighs] 2 seconds to 2 1 and a half depending on the situation, yes, on the market and what the structure is in general. Here. Ah, well, accordingly, here is the same hint in case we define in general, a, bullish breaker block is low, high, lower, low, higher, high. Ah, it’s all quite simple, but at first it may seem difficult and it takes time, yes, [music] skill in general, yes, to define this pattern. Actually, another small test depending on , yes, what I just said, and how [the music] you have learned and in general, yes, it is important to understand, that is, this will always be, uh, the most extreme, Depending on if [music] is bullish, then the topmost closing candle is closed. If we have a bearish one, then this is like the lowest closed candle before the lowest closed candle before the previous high was, a, accomplished, a,. Here. And, accordingly, try it, yes, well, such a small test is simple, as you understand. So, will we have this or that performing? What do you think? Yes. so we’re focusing on it, that is, the most extreme one. And perhaps this will also be useful. That is, the price forms low. Ah, yes, in general, why does this situation work and what is the logic behind it ? That is, the price forms a low, longs are opened. That is what I explained above, why this can be a kind of trap for SMC traders. And here it is important to understand in general and learn to identify this breaker block. That is, long positions are opened, expecting the price to go up. Well, and, accordingly, the price goes up. Well, that is, obviously, it breaks through a new high, but then after that it turns around and breaks through new lows. That is, if we expect that, a, the zone will be reached up to here and we have some reached up to here and we have some take-profits there, but we essentially do not achieve this, and the price goes below the stops, accordingly, which the guys who want to navigate and expect that this will be an navigate and expect that this will be an order block there. Here. Something like this . Now let's move on to the graph. There I will show you in detail what I do , and examples, yes, and after that it will become easier for you. So, guys, I'm on the euro-dollar chart now. Let's look at an example of a breaker block. Here is a pretty good option. And this is a bullish pretty good option. And this is a bullish breaker block. a, low, a, then high, then lower, low, higher, high. Then we return to this zone, and here we already have a zone of, uh, support forming. After zone of, uh, support forming. After that we go upstairs. Ah, so the very top candle before we had a low, right? And, actually, this is the had a low, right? And, actually, this is the zone we have. We determine by the body. If we have a small candle, yes, if it’s large, then we will also affect the candle’s shadow. And it turns out here that we see that we are returning to this level, and after that there is already, ah, [sighs] reaching everything upwards. And so, accordingly, that is, in the case where we enter a position, it will we enter a position, it will look something like this. That is, we, a, our, aa, we aa, we put our stop, a, behind the shadow, a, and put our stop, a, behind the shadow, a, and after that we go, a, calmly 1: two, you can even one: three, but I stick to this conservative approach, yes, that is, even in some cases you can partially fixate on one and a half, and then completely go out on one two. [music] Well, it depends on your model, how aggressive you are and how much capital you have and how much interest per month you want to make. That is, in this case it will look something like this. Well, actually, we have now looked at the first option. Let's continue. I'll show you, oh, another option. So, guys, let's continue. And now I'll show you an example of a bearish breaker block. Ah, so here's a pretty good option, so I'm showing it so that option, so I'm showing it so that later , in your analyses, you can also understand and identify a breaker block. Ah, that is, [musician] has a bearish one. [musician] has a bearish one. Well, essence of what [music] we have is that it goes high, low, higher, high, lower, low. We return to the previous support zone, and we reach it, and previous support zone, and we reach it, and then, in fact, we go even lower. Ah, so the way, and [music] let’s look at it more clearly using and [music] let’s look at it more clearly using graphs. Ah, that is, with us, ah, as we see, things are going well. First we reach the local high level, yes, after that we go down to [music] low. And then higherha high happens after low low. And here then higherha high happens after low low. And here we are, as we can see, [music] and calmly goes even lower. Here. That is, here he gave an example of a bearish breaker block. Actually, the most important thing I want to say here is that it is important to devote as many hours as possible, yes, from a practical point of view, not to rush first and foremost and throw away [music] money to carry out transactions, get burned and after that, yes, understand that, okay, is, first of all, devote time to investing in training, and then go practice, and, and, and make, and, deals. By the way, I'll share a couple more interesting videos later in case you're just starting out, or, uh, have n't seen any serious results, and how you can get a good n't seen any serious results, and how you can get a good start on your, so to speak, career start on your, so to speak, career in trading. Here. And now in trading. Here. And now I’ve told you something basic. I hope it's clear enough. If you have any questions, feel free to write them in the comments or head over to the Telegram channel, where I'll publish even more interesting trading-related content. In general, how trading-related content. In general, how trading works and how, let's say trading works and how, let's say , a lifestyle, and, taking into account trading, is formed, I think it will be quite useful. Something like that . So, that's an overview of the breaker block: what it is, why it's a SMC traders, and why it's important to use it in your trading. I I hope this was helpful. If you have any feedback or comments, I would be glad if you leave them under the video. I also ask you to subscribe to the channel, leave [music], like, and click the bell. This will help you in terms of not missing out on new content that I will be publishing [music] soon. It will also help me, uh, in terms of YouTube better promoting, uh, my [music] channel. Actually, thanks for watching. See you in the next video. And don't forget to watch the previous one. It's quite useful and goes well with [music] in conjunction with breaker block.