Fair Value Gap (FVG)

A Fair Value Gap (FVG) is a price imbalance shown by a three-candle pattern, where a fast move leaves a gap between the wick of the first candle and the wick of the third, unfilled by the middle candle. Smart-money (ICT) traders treat this gap as a zone price often returns to in order to "fill" it, using it as a potential entry area.