PROTECTED SOURCE SCRIPT
Fair Value Gap [CT TRADERS]
What does a Fair Value Gap do?
👉 It marks areas where price moved too fast, creating an imbalance between buyers and sellers.
This usually happens when institutional money enters the market aggressively.
Why is it important?
Because the market tends to revisit these areas to “rebalance” or fill the gap.
When price returns to an FVG, one of these usually happens:
🔼 Bounce (continuation of the move)
🔽 Rejection (price reversal)
Types of Fair Value Gaps
🔹 Bullish FVG
Created during a strong upward move
Acts as a support zone
Price often returns to it before continuing higher
🔹 Bearish FVG
Created during a strong downward move
Acts as a resistance zone
Price often returns to it before continuing lower
How traders use FVGs
✔️ Identify key price zones
✔️ Improve entry precision
✔️ Avoid chasing price
✔️ Understand institutional market behavior
👉 It marks areas where price moved too fast, creating an imbalance between buyers and sellers.
This usually happens when institutional money enters the market aggressively.
Why is it important?
Because the market tends to revisit these areas to “rebalance” or fill the gap.
When price returns to an FVG, one of these usually happens:
🔼 Bounce (continuation of the move)
🔽 Rejection (price reversal)
Types of Fair Value Gaps
🔹 Bullish FVG
Created during a strong upward move
Acts as a support zone
Price often returns to it before continuing higher
🔹 Bearish FVG
Created during a strong downward move
Acts as a resistance zone
Price often returns to it before continuing lower
How traders use FVGs
✔️ Identify key price zones
✔️ Improve entry precision
✔️ Avoid chasing price
✔️ Understand institutional market behavior
Protected script
This script is published as closed-source. However, you can use it freely and without any limitations – learn more here.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Protected script
This script is published as closed-source. However, you can use it freely and without any limitations – learn more here.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.