Fair Value Gaps: The Blueprint Institutions Don’t Want You To Know
Wiki Article
Fair Value Gaps (FVGs) have become one of the most powerful tools for traders who want to understand the true intentions of institutional order flow.
According to the research philosophies of Plazo Sullivan Roche Capital, Fair Value Gaps are the market’s way of revealing inefficiencies created when institutional orders hit the market too aggressively for price to fill normally.
Understanding the Anatomy of an FVG
An FVG represents an inefficiency—an area where price moved too fast for opposing traders to fill orders.
Why FVGs Matter
For traders aligned with the methodologies used inside Plazo Sullivan Roche Capital, these retests become ideal trade entry zones.
How to Trade Fair Value Gaps
Look for Strong Institutional Moves
Displacement confirms that institutional activity caused the imbalance.
2. Mark the Gap
Highlight the zone between the prior candle’s high and the next candle’s low (or vice versa).
Patience Creates Precision
Institutions use these pullbacks to reload positions at favorable pricing.
Bias Before Execution
An FVG entry aligned with higher-timeframe direction is exponentially more effective.
5. Use FVGs as Targets
Just as price gravitates back to FVGs for entries, it also moves toward FVGs when they act as future magnets.
Why FVG Trading Works
They reveal check here 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.