Mastering Fair Value Gaps
Wiki Article
Fair Value Gaps represent one of the few repeatable patterns that consistently expose the imbalance driving institutional pricing.
Plazo Sullivan’s methodology emphasizes that Fair Value Gaps act as magnets—not because retail traders watch them, but because institutions must mitigate the imbalance they caused.
Understanding the Anatomy of an FVG
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.
The Institutional Logic Behind FVGs
Because institutions require massive liquidity, they often leave gaps behind due to the size of their orders.
A Simple, Professional FVG Workflow
1. Identify the Displacement
Displacement confirms that institutional activity caused the imbalance.
Outline the Exact Imbalance here Zone
This is the region where price is likely to return.
Patience Creates Precision
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
Fair Value Gaps give traders a rare glimpse into algorithmic intent.
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.