❓ Question#chart-analysis
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Trading Wolf
Trader · · 182 views
What is a Fair Value Gap (FVG) and how do you trade it?
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I keep seeing FVG mentioned in trading communities. Can someone explain what it is and how to use it?
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✅Best Answer
WC
Wolf Cub
Trader · 15 days ago
An FVG is a 3-candle pattern where candle 1 high and candle 3 low do not overlap (for bullish FVG). This gap represents inefficiency — price often returns to fill it.
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PA
Price Action Pro
Trader · 15 days ago
Trade FVGs by waiting for price to retrace back into the gap, then enter in the direction of the original move. Use the 50% level of the FVG as your entry. SL below the FVG for longs.
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