Fair Value Gaps: The Blueprint Institutions Don’t Want You To Know
Wiki Article
Professional traders have long relied on Fair Value Gaps to time entries with almost surgical precision—often before the rest of the market even realizes what’s happening.
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.
What Exactly Is a Fair Value Gap?
An FVG forms when the market displaces violently in one direction, preventing the opposite side from offering liquidity at fair value.
Why Smart Money Loves FVGs
FVGs expose where large players entered the market with force.
How to Trade Fair Value Gaps
1. Identify the Displacement
Before an FVG matters, there must be displacement—strong, directional movement marked by high volume or momentum.
Outline the Exact Imbalance Zone
This is the region where price is likely to return.
Patience Creates Precision
Institutions use these pullbacks to reload positions at favorable pricing.
4. Align With Market Structure
Plazo Sullivan Roche Capital’s bias framework—weekly, daily, liquidity mapping—acts as the filter that upgrades an FVG from “possible” to “high-probability.”
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
Fair Value Gaps give here 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.