Technical Analysis Tools
The market doesn't reward being right. It rewards managing being wrong, cheaply.Jason Parker, Founder of Trading Habits
A Fair Value Gap is the void left between candle one and candle three when candle two moves fast enough that the two outer candles never overlap. Enter the high and low of candle one and candle three; candle two's own high and low don't matter to the test.
Enter both candles' highs and lows to check for a genuine gap.