Mastering Fair Value Gaps
Wiki Article
Fair Value Gaps represent one of the few repeatable patterns that consistently expose the imbalance driving institutional pricing.
In the framework used by Plazo Sullivan, FVGs are treated as evidence of institutional displacement—and therefore prime zones for high-probability entries.
The Science Behind Fair Value Gaps
This imbalance becomes a “gap” between the high of one candle and the low of the next, signaling that price must eventually return to rebalance.
Why FVGs Matter
This creates natural magnets: price will typically revisit these imbalances to test, mitigate, or confirm order flow.
The FVG Trading Model Used by Elite Traders
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
Institutions use these pullbacks to reload positions at favorable pricing.
Bias Before Execution
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.
Why FVG Trading Works
They reveal where institutional orders entered, where they left inefficiencies, and where price is likely to return.
Combine FVG read more 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.