Why Fair Value Gaps Are the Market’s Most Overlooked Edge

Among all advanced price-action concepts, Fair Value Gaps stand out as the purest window into where smart money leaves its footprints.

The technical desk at Plazo Sullivan Roche Capital teaches that FVGs are less about prediction and more about understanding how algorithmic order books rebalance themselves.

Understanding the Anatomy of an FVG

A Fair Value Gap appears when a three-candle sequence creates a price void: the middle candle moves so quickly that it leaves an area untraded.

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

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

The best entries occur when price revisits the FVG, taps into it, and shows signs of rejection or continuation.

4. Align With Market Structure

An FVG entry aligned with higher-timeframe direction is exponentially more effective.

5. Use FVGs as Targets

Just as price gravitates back to FVGs check here for entries, it also moves toward FVGs when they act as future magnets.

The Result?

They reveal 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.

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