What it means

A fair value gap highlights an area where price moved so quickly that part of the range was not traded back through immediately.

What to watch

The term is popular, but the important question is still whether the market treats that area as relevant later.

Where traders usually run into this

Fair Value Gap is most useful once it is tied to a concrete page, chart decision, or workflow question.

  • Imbalance keeps this term attached to a real glossary instead of leaving it as standalone jargon.
  • Liquidity keeps this term attached to a real glossary instead of leaving it as standalone jargon.
  • Retest keeps this term attached to a real glossary instead of leaving it as standalone jargon.

Best next page if this term is blocking you

If you understand the definition but still do not know what to do with it, start with Imbalance. That page is the fastest way to see how fair value gap shows up in a real glossary workflow.

Imbalance Glossary