Master Fair Value Gaps In JUST 5 Minutes

I was sick of losing trades watching my stop  losses hit right as the market turns but that all changed once I learned about fair value gaps  my entries improved and I found myself catching explosive moves in this video we're going to  cover everything you need to know to take full advantage of fair value gaps as well as various  examples on how you can use them to profit in trading any asset fair value gaps are imbalances  on the chart that are confirmed with a three Candlestick pattern for a bullish fair value Gap  the first candle's high does not overlap with the third candle's low this visually creates a gap and  typically the market will retrace to fill this Gap either partially or completely before continuation  of the trend now the reverse is true for a bearish fair value Gap the first candle's low does  not overlap with the third candle's high again leaving an imbalance on the chart these gaps act  as magnets the market tends to be drawn to them which we can also refer to as a draw on liquidity this can be our Target when we're looking to take you can also use them to enter a trade  after a valid setup has formed to di to differentiate between a bullish and bearish fair value Gap we're  going to call them busy and sibi a busy stands for a busy stands for a buy side imbalance with a sell-side inefficiency this is a bullish fair value Gap in an area where we might look to take a long position a CBI stands  for cell-side imbalance buy side inefficiency and and this is the bearish version of a fair value Gap typically we would use this to look for a short position or for the market to Trend down now most  people don't know this but there are actually but there are actually three different levels of fair value gaps that you  can look for to take better trades the first is IO the first is IO fed which stands for institutional orderflow  entry drill this is when price barely reaches barely reaches into a fair value gap before expanding away from  it it 's best used when there's heavy momentum in the market with large energetic candlesticks next  we have C short for consequent encroachment which