FVG in French: How to exploit Fair Value gaps like professional traders?

You have probably heard of the Smart Money Concept (SMC) in your trading feed. But here’s the real secret that 90% of traders ignore — the Fair Value Gap (FVG) is the hidden weapon that separates winners from losers.

Why do prices always return to the same zones?

The FVG is not an abstract theory. It’s simply what happens when the market moves so fast that it leaves unfilled zones. Imagine: a big wave rises, jumps over certain prices, then comes back down. These skipped zones? They are the FVGs — and that’s where smart money waits for retail traders.

Specifically, if you see 3 consecutive candles where the middle candle explodes upward (impulse) and creates a gap between the high of the first candle and the low of the third, you’ve just found an FVG. The price won’t pass through this zone — and later, it will always revisit it.

Understanding institutional movement

Here’s what really happens in the orders of big players. When an institution wants to accumulate, it can’t buy everything at the same price. So it pushes the price quickly by buying large volumes, fills some orders, then creates an imbalance by temporarily withdrawing its buying pressure.

The result? A gap. A zone where buyers and sellers have crossed paths, but not completely. And guess what — this gap acts like a magnet for the price. Savvy traders profit by entering exactly in these zones.

Step-by-step strategy

1. Identify the major structure

Always start with the big picture. Look if the market has broken a previous high (BOS bullish) or a previous low (BOS bearish). The market structure provides the context.

2. Spot the FVG on the chart

Use the rectangle tool on your platform (Binance TradingView, for example). Mark the 3 characteristic candles: an initial candle, a strong impulse in the middle, a small closing candle creating the gap.

3. Wait for the retracement

Patience pays off. The price will return to this zone — not immediately, but it will come back. Wait for confirmation signals.

4. Enter on confirmation

An engulfing candle, a test of the zone with a pullback, or simply the price touching the FVG with volume — these are solid entry signals.

5. Place the stop-loss wisely

Never randomly. Place it below the FVG or below the last swing low. Risk no more than 1-2% per trade.

6. Take profit at logical zones

Previous high, next resistance, or liquidity sweep zone — target these levels before aiming further.

Combining FVG with other techniques = explosive profitability

FVG + Market Structure

An FVG forming on a structure break (BOS)? That becomes a deadly confluence. The price broke, created an impulse, formed an FVG, then retraced. Three aligned signals = very high probability.

FVG + Order Blocks

If your FVG overlaps or runs along an order block (Order Block), the confluence becomes even stronger. Why? Because the order block is where smart money has placed its orders, and the FVG is the imbalance zone it created. Together, it’s an ultra-solid base.

FVG + Liquidity Sweep

The ideal scenario: the price sweeps a support/resistance (stop hunt), then moves up/down directly into an FVG. It’s the perfect sniper entry. The price tests the bottom, eliminates stops, then reverses. Your entry? On the confirmation candle after the sweep.

Best timeframes to trace the FVG

• 4H & 1H: To identify major institutional zones and set your strategy
• 15min & 5min: To confirm entries and validation candles
• 1min: Reserved for professional scalpers with HTF confluence (Higher TimeFrame)

Applying FVG on Binance mobile

1. Open TradingView integrated in the Binance app
2. Select your pair (BTC/USDT, ETH/USDT, etc.)
3. Zoom in on the 4H or 1H chart
4. Use the rectangle tool to draw your FVG
5. Set an alert when the price approaches
6. Check confirmation on lower timeframes

Real case: From theory to profit

Scenario: On BTC/USDT on the 1H, a bullish BOS formed. During the breakout, a strong impulse candle created an FVG between $62,000 and $62,600.

Next day: The price retraces and touches $62,300 (inside the FVG).

Confirmation: A bullish engulfing forms on the 15min timeframe.

Entry: $62,350 | SL: $62,100 | TP: $63,200 and beyond

Result: Profit x3 with a controlled risk of 1.5% of the account.

That’s what confluence gives: Structure + FVG + Confirmation = consistent profitability.

Risk management: the difference between surviving and thriving

Never risk more than 1-2% per trade. Your stop-loss must ALWAYS have a logical reason — not an arbitrary distance. Place it below the FVG, below the Order Block, or below the last swing.

For take profit, adapt according to your structure. First target the previous high, then higher liquidity zones. Use multiple TPs instead of a single target.

Record each FVG trade. Which timeframes worked? Which confluence was effective? Who missed it? This history becomes your personal trading system.

Conclusion: FVG is not a strategy, it’s a philosophy

The Fair Value Gap in French sums up a simple reality — the market is not random. Smart money creates imbalances, and FVGs are these imbalances. By understanding and trading them with the right confluences, you move from speculation to strategy.

Remember: never trade FVG alone. Always combine FVG with at least one major confluence (Structure, Order Blocks, Liquidity Sweep, HTF Analysis).

That’s how institutions trade.