# Propulsion Block A Smart Money Concepts / ICT concept (Order blocks) in the LuxAlgo Library, with 1 indicator implementation. ## What is a Propulsion Block? A propulsion block is an ICT order-block variant: a candle that trades back into a prior [order block](https://www.luxalgo.com/library/concept/bullish-bearish-order-block/), respects it, and drives away, becoming a tradable block in its own right. In the bullish case, a down-closing candle dips into an earlier bullish order block's range, holds, and price propels higher; that down-close candle is the propulsion block, and its range is expected to offer support on a later revisit. The bearish case mirrors it: an up-close candle trading into a bearish order block before price drives lower. The term comes from Michael J. Huddleston, the Inner Circle Trader, whose framework names a family of candle-derived zones: [breaker blocks](https://www.luxalgo.com/library/concept/breaker-block/), mitigation blocks, and rejection blocks among them. The propulsion block is the continuation member. A breaker records a block that failed and flipped polarity; a propulsion block records one that passed its retest, so it tends to appear mid-trend, stacked with the prevailing delivery rather than at turns. The logic is confirmation plus refinement. The original block held on the retest; the propulsion block records exactly where it did, leaving a newer, nearer, and usually tighter level aligned with the displacement that followed. Like every order-block concept it marks a zone that may hold, not one that must: a clean trade-through typically sends attention back to the original block behind it. Qualifiers do real work here. The retest candle should reach into the prior block's range, commonly its upper half or mean threshold in the bullish case, without closing through the far side; the departure should be energetic, ideally leaving a [fair value gap](https://www.luxalgo.com/library/concept/fair-value-gap/) and running nearby [session liquidity](https://www.luxalgo.com/library/concept/session-liquidity/). Those conditions separate a propulsion block from a random candle overlapping an old zone, and explain why the pattern is scarcer than standard order blocks. ## How to identify a propulsion block on a chart The pattern is a sequence, so identification works backward from a displacement leg. 1. Start with a valid prior order block: the last opposing candle before a displacing move, ideally formed with a [liquidity sweep](https://www.luxalgo.com/library/concept/liquidity-sweep/) or a structure break behind it. 2. Wait for the return: price trades back into the block's range and prints an opposing candle there (a down-close inside a bullish block) without closing beyond the far edge. 3. Demand a propulsive departure: the next leg should leave with conviction, ideally gapping an imbalance and taking a nearby short-term high or low. 4. Mark the propulsion candle: the opposing candle that traded into the old block is the new zone. Draw its full range, or refine to the open-to-extreme portion for tighter definitions. 5. Trade the revisit, not the formation: the zone becomes actionable when price retraces into it later, and a close through it returns focus to the original block behind. ## How traders use it - As a continuation entry: after the propulsion leg, a retrace into the propulsion block gives a defined place to join the move, with invalidation just beyond the block rather than beyond the whole prior range. - As zone refinement: instead of trading the full width of the older block, the propulsion block narrows attention to the slice that actually produced the reaction, giving a tighter stop for the same idea. - As a strength read: a prior block that holds and launches a new leg is evidence of continued interest, while a propulsion block failing on its first retest is an early warning that the leg is losing participation. - As part of a time-filtered model: ICT execution ranks a propulsion-block retest higher inside the London or New York [killzones](https://www.luxalgo.com/library/concept/killzones/) or at other [ICT time anchors](https://www.luxalgo.com/library/concept/ict-time-anchors/), when displacement is likeliest. - As one leg of a target plan: propulsion-block entries conventionally aim at the nearest [liquidity pool](https://www.luxalgo.com/library/concept/liquidity-pool/), typically the old high or low, with [standard-deviation projections](https://www.luxalgo.com/library/concept/standard-deviation-projections/) as an extension guide beyond it. ## Propulsion Block vs related concepts - **Bullish/bearish Order Block** (https://www.luxalgo.com/library/concept/bullish-bearish-order-block/): The standard order block is the parent pattern: the last opposing candle before displacement. A propulsion block adds a requirement, forming while successfully retesting an earlier block. Every propulsion block is an order block; very few order blocks earn the propulsion label. - **Breaker Block** (https://www.luxalgo.com/library/concept/breaker-block/): The two record opposite retest outcomes. A breaker is born when an order block fails and price closes through it, flipping the zone's polarity. A propulsion block is born when the block holds. Failure creates a reversal tool; success creates a continuation tool. - **Fair Value Gap** (https://www.luxalgo.com/library/concept/fair-value-gap/): A fair value gap is a three-candle imbalance, a void rather than a candle range. Propulsion blocks and FVGs often overlap, since a propulsive departure tends to leave a gap; the overlap is commonly traded as one refined zone. ## FAQ ### What is the difference between a propulsion block and a regular order block? Formation context. A standard order block is the last opposing candle before a displacing move. A propulsion block must additionally trade into a prior order block and launch from it: it's an order block validated by another order block, which is why it's treated as a refined, nearer level with the original zone as the fallback behind it. ### Do propulsion blocks always hold as support or resistance? No. They're zones price often reacts to in the direction of the prior move, but they fail like any level, and a decisive close through one usually shifts focus to the original order block behind it. Most models pair a propulsion block with lower-timeframe confirmation rather than treating the touch itself as an entry. ### Who coined the term propulsion block? It comes from Michael J. Huddleston's Inner Circle Trader teaching, where it sits alongside breaker, mitigation, and rejection blocks in his candle-derived zones. It is a term of that framework rather than classical technical analysis, so outside definitions vary. ### Does the propulsion candle need to reach the 50% level of the prior order block? Conventions differ. A common refinement wants the retest to reach the prior block's mean threshold, its midpoint, without closing through the far side; others accept any overlap. Fix the rule in advance: the label loses meaning if the definition floats between trades. ### What timeframes do propulsion blocks work best on? The pattern is fractal, but most ICT-derived models mark the originating blocks on higher timeframes, then trade the retest on lower ones with displacement as confirmation. Needing a prior block plus a successful retest, it is simply rarer than a standard order block. ### Where does the stop go when trading a propulsion block? The tight version sits just beyond the propulsion candle's far extreme, where the refinement is wrong. The conservative version sits beyond the original order block behind it, accepting a wider stop to survive a full retest of the older zone. ## Implementations in the Library - ICT Propulsion Block (LuxAlgo): https://www.luxalgo.com/library/indicator/ict-propulsion-block/ ## Related concepts - Bullish/bearish Order Block: https://www.luxalgo.com/library/concept/bullish-bearish-order-block/ - Breaker Block: https://www.luxalgo.com/library/concept/breaker-block/ - Order Block Anatomy & Refinement: https://www.luxalgo.com/library/concept/order-block-anatomy-and-refinement/ - Rejection Block: https://www.luxalgo.com/library/concept/rejection-block/ - Reclaimed Order Block: https://www.luxalgo.com/library/concept/reclaimed-order-block/ - Mitigation Block: https://www.luxalgo.com/library/concept/mitigation-block/ --- Source: https://www.luxalgo.com/library/concept/propulsion-block/ (LuxAlgo Library, the encyclopedia of trading & technical analysis). Free to use with attribution: https://www.luxalgo.com/library/license/