Fair Value Gaps: The ICT Concept That Works

Fair Value Gaps: The ICT Concept That Works Fair Value Gaps FVGs represent one of the most powerful and reliable concepts within the Inner Circle Trader ICT methodology. These price inefficiencies occur when the market moves so aggressively that it leaves behind unfilled price ranges, creating opportunities for astute traders to capitalize on the market's natural tendency to return and "fill" these gaps. Unlike traditional gap analysis, ICT's Fair Value Gap concept provides a sophisticated framework for understanding market structure, identifying highprobability trade setups, and managing risk with precision. This methodology has gained significant traction among professional traders who understand that the market's inefficiencies are not random occurrences but deliberate actions by smart money participants. Table of Contents Understanding Fair Value Gapsunderstandingfairvaluegaps Identifying Valid Fair Value Gapsidentifyingvalidfairvaluegaps Trading Fair Value Gap Setupstradingfairvaluegapsetups Advanced FVG Concepts and Confluencesadvancedfvgconceptsandconfluences Risk Management and Executionriskmanagementandexecution Conclusionconclusion Understanding Fair Value Gaps A Fair Value Gap forms when price moves so rapidly that it creates an imbalance in the market structure. Specifically, an FVG occurs when there's a gap between the high of one candle and the low of another candle, with at least one candle in between that doesn't overlap with either. :::keyconc