What is a fair value gap (FVG) in trading?
Updated Nov 9, 2026 · 3 min read
A fair value gap is a three-candle imbalance where price moved too fast to trade both sides. Definition, how to spot one, and open gaps on BTC, ETH, SOL and HYPE on Nov 9, 2026.
What is a fair value gap? A fair value gap (FVG) is a price zone that a market crossed so quickly that only one side traded there. It is defined by three candles: in a bullish FVG, the low of the third candle sits above the high of the first, and the gap between them is the zone. A bearish FVG is the mirror image. Traders watch these zones because price often comes back to trade through them.
Key takeaways
- Bullish FVG: candle 3 low above candle 1 high. Bearish FVG: candle 3 high below candle 1 low.
- The middle candle is the large one that did the moving.
- A gap is “filled” when price later trades back through the whole zone; “partly filled” when it has entered but not crossed it.
- FVGs come from ICT and smart money concepts. They mark imbalance, not a guaranteed reversal.
Open fair value gaps on Hyperliquid, Nov 9, 2026
The table lists the two most recent unfilled gaps of at least 0.3% on the 4-hour chart over the last 45 days for four perps. Every one is bearish: each formed during a fast drop.
| Market | Gap | Middle candle (4h) | Zone | Size | Status at 10:53 UTC Nov 9 |
|---|---|---|---|---|---|
| BTC | Bearish | Oct 22, 04:00 UTC | $82,264 to $82,645 | 0.46% | open |
| BTC | Bearish | Nov 5, 12:00 UTC | $77,036 to $80,233 | 4.15% | open |
| ETH | Bearish | Nov 5, 12:00 UTC | $2,286 to $2,412 | 5.52% | open |
| ETH | Bearish | Nov 8, 20:00 UTC | $2,159 to $2,224 | 3.02% | open |
| SOL | Bearish | Nov 5, 12:00 UTC | $91.55 to $95.76 | 4.60% | partly filled |
| SOL | Bearish | Nov 8, 20:00 UTC | $88.42 to $88.83 | 0.47% | open |
| HYPE | Bearish | Nov 8, 16:00 UTC | $76.76 to $77.11 | 0.45% | open |
| HYPE | Bearish | Nov 8, 20:00 UTC | $75.42 to $76.34 | 1.23% | open |
A bearish gap above price is the zone a short-side trader would watch if price rallies back into it, and the level a long-side trader would expect to slow a recovery. Neither reading is a forecast: gaps can stay open for weeks, and large ones are often only partly filled.
How traders use a fair value gap
- 01Find the gap on the timeframe you trade, and note whether it formed with the trend or against it.
- 02Wait for price to return into the zone instead of chasing the move that created it.
- 03Look for a reaction inside the zone, often a lower-timeframe break of structure, before entering.
- 04Place the stop beyond the far side of the gap, and size the position so that stop is a fixed share of the account.
FVGs on Senpi
Describe the rule in a sentence to your Senpi agent, in the app or from Claude, ChatGPT or another AI app through the connectors. Senpi shows the rules back to you, then runs them in a separate strategy wallet with the stop attached from the first fill. The open-source Viper template trades this family of signals:
- Viper, SMC/ICT structure trader: enters on breaks of structure in the trend’s direction, using fair value gaps and swing levels for entries and stops.
How do you identify a fair value gap?
Look at three consecutive candles. If the third candle’s low is above the first candle’s high, the space between them is a bullish fair value gap; if the third candle’s high is below the first candle’s low, it is a bearish one.
Do fair value gaps always get filled?
No. Many are filled within days, some only partly, and some stay open. On Nov 9, 2026 BTC still had an open 4-hour gap from Oct 22 between $82,264 and $82,645.
What timeframe is best for fair value gaps?
Gaps on higher timeframes (4-hour, daily) mark larger imbalances and are watched by more traders; gaps on 1- to 15-minute charts appear constantly and are mostly noise. Many traders mark the higher-timeframe gap and time the entry on a lower one.
Is a fair value gap the same as a price gap?
No. A classic price gap is a jump between one candle’s close and the next candle’s open, common in stocks overnight. A fair value gap needs no jump in the open: it is the untraded space between candle 1 and candle 3, and it appears in 24/7 crypto markets too.
Trade structure and gaps with an agent
Describe your FVG rules in a sentence. Senpi shows them back, then runs them with stops attached.
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