Scribd
Upload
47 views10 pages

Fair Value Gap Trading Strategies

Fair Value Gaps (FVG) are used to identify market imbalances created by large momentum candles, indicating potential entry points for traders. Bullish and bearish FVGs are identified by analyzing surrounding candles and drawing lines between specific points. Inverted Fair Value Gaps (IFVG) can occur in premium or discount zones, indicating potential failures of the original FVGs.

Uploaded by

pogokiddu
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
47 views10 pages

Fair Value Gap Trading Strategies

Fair Value Gaps (FVG) are used to identify market imbalances created by large momentum candles, indicating potential entry points for traders. Bullish and bearish FVGs are identified by analyzing surrounding candles and drawing lines between specific points. Inverted Fair Value Gaps (IFVG) can occur in premium or discount zones, indicating potential failures of the original FVGs.

Uploaded by

pogokiddu
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

ENTRY MODULE

FVG – FAIR VALUE GAP


2

WHAT IS FAIR VALUE GAPS (FVG)

• Fair Value Gaps (FVGS) helps to identify imbalances in the market.

• Large movements (momentum candles) create temprorary market inefficiencies.

• During these gaps, either Buyers or Sellers dominate the market.

• Traders use FVGs as potential entry poins, expecting the market to fill these gaps.
3
HOW TO IDENTIFY FAIR VALUE GAP
(FVG)
4
5
BULLISH FVG :-

1. Spot a Momentum Candle:


Look for a strong (BIG) momentum candle. this
candle should be at least twice the size of the
previous candles, though larger is better.

2. Identify Surrounding Candles:


Locate the candle before and after the momentum
candle.

3. Draw Your Lines:

Draw a rectangle/line from the highest point of


the preceding candle and the lowest point of the
following candle. The space between these two
points is your BULLISH FAIR VALUE GAP.
6
BEARISH FVG :-

[Link] a Momentum Candle:

Similar to the bullish FVG gap, find a


strong(BIG)momentum candle.

[Link] Surrounding Candles:

Look at the candle before and after the momentum


candle.

[Link] Your Lines:

Draw a line from the lowest point of the preceding candle


to the highest point of the following candle. The space
between these points is your BEARISH FAIR VALUE GAP.
7
INVERTED FAIR VALUE GAPS - IFVG

 In Premium Zone BULLISH FVG Can Fail or -IFVG can form.


 In Discount Zone BEARISH FVG Can Fail or +IFVG can form.
8

You may visit with me


about questions or
I want you to have a concerns any time we
great and successful are not in the middle of
year! direct instruction, or I
am not helping other
students.
How and when to
contact me?
I am available for extra
help before or after
You may email me if
school. When possible,
necessary, and I will
please let me know in
respond when I am able.
advance so I can plan
accordingly.
9

When is the appropriate


time to have a positive
attitude and be
respectful?
ALWAYS! Do your best to be respectful
and have a positive attitude each day.
We are going to have a fantastic year!

You might also like