Mastering Fair Value Gaps
Wiki Article
Fair Value Gaps represent one of the few repeatable patterns that consistently expose the imbalance driving institutional pricing.
Analysts within Plazo Sullivan Roche Capital highlight FVGs as a cornerstone of smart-money trading due to their high reliability in trend continuation and mean reversion setups.
Where Fair Value Gaps Come From
An FVG represents an inefficiency—an area where price moved too fast for opposing traders to fill orders.
Why FVGs Matter
This creates natural magnets: price will typically revisit these imbalances to test, mitigate, or confirm order flow.
A Simple, Professional FVG Workflow
Look for Strong Institutional Moves
Before an FVG matters, there must be displacement—strong, directional movement marked by high volume or momentum.
2. Mark the Gap
Highlight the zone between the prior candle’s high and the next candle’s low (or vice versa).
3. Wait for the Retracement
The best entries occur when price revisits the FVG, taps into it, and shows signs of rejection or continuation.
4. Align With Market Structure
Plazo Sullivan Roche Capital’s bias framework—weekly, daily, liquidity mapping—acts as the filter that upgrades an FVG from “possible” to “high-probability.”
Imbalances Work Both Ways
Marking both bullish and bearish gaps creates natural take-profit levels.
The Institutional Edge FVGs Provide
They reveal read more where institutional orders entered, where they left inefficiencies, and where price is likely to return.
Combine FVG logic with market structure, liquidity pools, and volume confirmation, and you have one of the strongest frameworks available to retail traders today—one that aligns perfectly with the advanced methodologies taught inside Plazo Sullivan Roche Capital.
FVGs aren’t signals—they’re context.
And once you learn their language, the market starts to speak back.