Ict Rejection Block Calculator
Identify rejection blocks (wicks into FVGs) for ICT-based trade entry signals. Enter values for instant results with step-by-step formulas.
Formula
Rejection Zone = Candle Body to Wick Extreme | Entry = 50% of Zone | SL = Beyond Wick + Buffer
The rejection block zone spans from the candle body edge to the wick extreme. Entry is typically at the 50% level of this zone. Stop loss is placed beyond the wick extreme with a 10% buffer of the candle range.
Worked Examples
Example 1: Bullish Rejection Block with FVG Overlap
Problem: A 15-minute candle on EUR/USD: Open 1.1020, Close 1.1025, High 1.1055, Low 1.1015. A bullish FVG exists from 1.1035-1.1050. Current price is 1.1022. Analyze the rejection block.
Solution: Total range: 40 pips (1.1015 - 1.1055)\nBody: 5 pips (12.5% of range) - small body = strong rejection\nLower wick: 5 pips (12.5%) | Upper wick: 30 pips (75%)\nWait - this is upper wick dominant, not lower wick\nRe-analyze: Upper wick into FVG? High 1.1055 > FVG Low 1.1035 = Yes\nBut candle is bullish, upper wick means bearish rejection from FVG\nRejection zone: 1.1025 - 1.1055
Result: Potential bearish rejection from FVG | Entry: 1.1040 | SL: 1.1059 | TP: 1.1015
Example 2: Bearish Rejection Block on 1-Hour Chart
Problem: GBP/USD 1H candle: Open 1.2780, Close 1.2770, High 1.2820, Low 1.2765. FVG zone 1.2800-1.2815. Current price 1.2790.
Solution: Total range: 55 pips\nBody: 10 pips (18.2%) - very small = strong rejection\nUpper wick: 40 pips (72.7%) - dominant rejection wick\nLower wick: 5 pips (9.1%)\nHigh 1.2820 penetrates FVG (1.2800-1.2815) = confirmed overlap\nBearish rejection block: Zone 1.2780-1.2820\nEntry: 1.2800 (midpoint) | SL: 1.2826 | TP1: 1.2765 | TP2: 1.2738
Result: Bearish Rejection Block | Entry: 1.2800 | Risk: 26 pips | R:R TP1: 1.35:1 | TP2: 2.38:1
Frequently Asked Questions
What is an ICT Rejection Block and how does it form?
An ICT Rejection Block is a specific candlestick pattern where a long wick penetrates into a fair value gap (FVG) or key level and then quickly reverses, creating a zone of institutional rejection. The rejection block forms when price extends beyond a candle body into an area of interest, collects liquidity, and then closes back within the range, leaving a prominent wick. The body of the rejection candle represents the rejection zone, which acts as a future support or resistance area where institutional orders are likely resting. A bullish rejection block features a long lower wick that penetrates below and a close near the high, while a bearish rejection block shows a long upper wick with a close near the low.
How does a rejection block differ from a regular order block?
While both rejection blocks and order blocks are institutional reference levels, they form through different mechanisms and carry different implications. An order block is typically the last down-close candle before a bullish move or the last up-close candle before a bearish move, representing the candle where institutions established their positions. A rejection block, by contrast, specifically involves a candle with a prominent wick that penetrated into a fair value gap before rejecting, showing that institutions actively defended that price level. Order blocks tend to be more reliable for trend continuation entries, while rejection blocks signal strong rejection of a specific level and often indicate higher-conviction reversal points. Rejection blocks also tend to be respected more precisely because the wick represents an exact institutional reaction.
Why does the wick penetration into a fair value gap make the rejection block more significant?
When a wick penetrates into a fair value gap and then rejects, it confirms two ICT concepts simultaneously, creating a higher-probability trading level. First, the FVG represents an area of inefficient price delivery that the algorithm needs to revisit, confirming that institutional interest exists at that level. Second, the rejection wick shows that when the algorithm did deliver price to that area, it was immediately and forcefully rejected, indicating strong institutional defense. The combination means that institutions both intended to fill the FVG and used the fill as an opportunity to establish or add to positions. This dual confirmation makes rejection blocks with FVG overlap significantly more reliable than either pattern alone, often leading to strong directional moves after the rejection.
What wick-to-body ratio indicates a valid rejection block?
A valid rejection block typically requires the rejecting wick to constitute at least 40 percent of the total candle range, with higher percentages indicating stronger rejection. The ideal rejection block has a wick representing 60 to 70 percent of the total range, with the body comprising 30 percent or less. This extreme wick-to-body ratio demonstrates that price traveled significantly into the rejected area but was pushed back forcefully, indicating strong institutional opposition to that price level. A wick of less than 40 percent is generally considered a normal candle without sufficient rejection force to qualify as a rejection block. The body color should align with the direction of rejection, meaning a bullish rejection candle should close bullish and a bearish rejection candle should close bearish.
Where should the stop loss be placed when trading a rejection block?
Stop loss placement for rejection block trades should be positioned beyond the extreme of the rejecting wick, typically with a buffer of 5 to 15 pips depending on the timeframe and pair volatility. For a bullish rejection block, the stop loss goes below the candle low plus buffer. For a bearish rejection block, it goes above the candle high plus buffer. This placement is logical because if price exceeds the rejection wick extreme, it invalidates the premise that institutions defended that level, meaning the rejection has failed. Some traders use a tighter stop beyond the FVG boundary rather than the wick extreme, which improves the risk-to-reward ratio but increases the probability of being stopped out by minor liquidity sweeps before the expected move occurs.
What timeframes work best for identifying rejection blocks?
Rejection blocks are most reliable on the 15-minute and 1-hour timeframes, which balance sufficient detail to see wick formation clearly while filtering out the noise present on very low timeframes. The 15-minute chart is preferred for intraday trading because rejection blocks at this level often form during killzone transitions and produce moves lasting 2 to 4 hours. The 1-hour timeframe produces rejection blocks that drive price for 1 to 2 trading days. The 4-hour and daily timeframes generate the most powerful rejection blocks that can influence price for a full week or more, but they form less frequently. Lower timeframes like the 5-minute chart produce many rejection candle patterns, but the signal-to-noise ratio is poor, leading to many false signals that do not hold.