📊 What is Fair Value Gap (FVG)?
A Fair Value Gap (FVG) is a price imbalance that forms when the market moves aggressively, leaving an inefficient area on the chart.
🟢 Bullish FVG: Price moves strongly upward, creating an imbalance. Later, price may pull back to retest the gap before continuing higher.
🔴 Bearish FVG: Price moves strongly downward, creating an imbalance. Later, price may retrace upward to retest the gap before continuing lower.
🔍 How to Identify an FVG:
• Look for a strong impulsive move.
• Identify the three-candle pattern.
• Mark the gap between the first and third candles' wicks.
• Wait for a possible retest and price-action confirmation.
💡 Remember: Not every FVG gets filled, and a retest does not guarantee a reversal or continuation. Always consider market structure and manage your risk.
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#FVG #fairvaluegap #SMC #priceaction #tradingeducation
A Fair Value Gap (FVG) is a price imbalance that forms when the market moves aggressively, leaving an inefficient area on the chart.
🟢 Bullish FVG: Price moves strongly upward, creating an imbalance. Later, price may pull back to retest the gap before continuing higher.
🔴 Bearish FVG: Price moves strongly downward, creating an imbalance. Later, price may retrace upward to retest the gap before continuing lower.
🔍 How to Identify an FVG:
• Look for a strong impulsive move.
• Identify the three-candle pattern.
• Mark the gap between the first and third candles' wicks.
• Wait for a possible retest and price-action confirmation.
💡 Remember: Not every FVG gets filled, and a retest does not guarantee a reversal or continuation. Always consider market structure and manage your risk.
🎯 Learn | Practice | Trade Smarter
$BTC $ETH $BNB
#FVG #fairvaluegap #SMC #priceaction #tradingeducation