What Is Fair Value Gap (FVG)?

Price imbalances left by explosive market displacement

A Fair Value Gap (FVG) is an imbalance in price where the market moves so strongly in one direction that little to no trading occurs in between.

It usually appears as a gap between the wicks of three consecutive candles, showing aggressive buying or selling pressure.
In simple terms: It's a price imbalance area that the market may revisit later to "rebalance" or fill before continuing its original move.