Smart money concepts (SMC)
SMC reads a chart as a sequence of swings and the breaks between them. Breaks of structure, fair value gaps and order blocks follow from that sequence.
Free plan · Sign in with MT4 or MT5 · Windows 10 and 11
On a real chart
How Arka Terminal marks it
- 01The swing path joins each confirmed high and low.
- 02Each close beyond a swing is a break: BOS with the trend, CHoCH against it.
- 03Fair value gaps: price ranges a fast move skipped.
- 04Order blocks: the candles each breaking move started from.
XAU/USD 30m candles, Sep 24, 2026 to Sep 28, 2026. Every drawing is Arka Terminal's AI Structure Analysis of these candles. Nothing is placed by hand.
The shape
The four parts in one move
A rising sequence, a break, the gap the break left, the candle it started from, and the first break against the trend.
How to read it
01
Start with the swings
Mark confirmed swing highs and lows first. Every other SMC term is defined by them.
02
Breaks count on a close
A wick through a swing is not a break. A candle has to close beyond it.
03
Gaps and blocks come from breaks
An order block is where a breaking move started. A fair value gap is what the move left behind.
04
Read the higher timeframe
A bullish break on 15 minutes inside a falling 4-hour structure is a pullback until the 4-hour turns.
Common mistakes
Marking every candle
Every small pause is not a swing. Without a fixed rule, the chart fills with levels that mean nothing.
Treating zones as entries
An order block or a gap marks where to look. It does not say price will turn there.
Ignoring filled gaps and broken blocks
Once a gap is filled or a block is closed through, it has done its work. Keep only the live ones.
In Arka Terminal
One switch in the structure panel
- One fixed swing rule
- A swing high needs 8 lower highs on each side. Lows are the mirror. The last 600 candles are read.
- Only live zones
- The three nearest unfilled gaps and the three nearest unbroken order blocks are drawn. Each block carries its volume and its share of the blocks shown.
- A plain read
- The panel names the last break, the price that would turn it, and the direction on 15 minutes, 1 hour, 4 hours and daily.
- Free on every plan
- The analysis runs on your PC. It uses no AI credits.
- Ask about it
- Arka Copilot reads the switches you have on and answers with the same prices the chart shows.
Smart money concepts, marked on your own chart
- Free on every plan
- Sign in with your MT4 or MT5 account
- Nine structure switches, no AI credits
Questions
What does SMC stand for?
Smart money concepts. It is a way of reading price through swings, breaks of structure, fair value gaps and order blocks.
Is there an SMC indicator for MT4 or MT5?
Arka Terminal signs in with an MT4 or MT5 account and marks swings, BOS, CHoCH, fair value gaps and order blocks on its own charts. It is free on every plan.
Does SMC work on gold and forex?
The rules apply to any chart with clear swings. The chart on this page is gold on 30 minutes.
Is SMC better than support and resistance?
It is a different reading of the same swings. Many traders use both: key levels for where, structure for direction.
Related terms
Market structure
- Smart money concepts
- Order blocks
- Fair value gap
- Break of structure
- Market structure
Candles
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Available for Windows 10 and Windows 11
