# Fair Value Gap

Enters short positions when the previous bar's high is below the next bar's low, and long positions when the previous bar's low is above the next bar's high.

Canonical: https://prismaticalgos.com/compendium/algo/2921-fair-value-gap
Record ID: 2921
Catalog rank: 2534 (reading order, not performance)
Snapshot: 2026-10-31 15:46 UTC
Family: Price Action & Market Structure (E)
Source: https://www.prorealcode.com/topic/fvgfair-value-gap-indicator-convert-to-trading-code/
Evidence label (unverified): source_code

## Scope and limitations

These are machine-extracted research records, not verified trading systems. Catalog rank measures specification detail and claimed evidence, not profitability. The catalog extraction pipeline did not independently backtest these records. Its separate selected testing ledger does not validate the wider corpus. Rules, labels and parameters can be incomplete or wrong; consult the original source and its reuse terms.

No endorsement, ownership claim or source-code reuse permission is implied.

## Extraction warnings

No automated warnings recorded; this is not validation.

## Recorded profile

- symbols: any
- timeframes: any
- sessions: any
- market_regime: any

## Indicators

No indicator stack recorded.

## Recorded long-entry rules

- Not specified.

## Recorded short-entry rules

- High[BI - 1] < Low[BI + 1]

## Recorded exit rules

- Valid = 1 and imbalance is not mitigated

## Recorded filters

- Not specified.

## Risk controls

- Stop loss: pLOSS 100
- Take profit: pPROFIT 300
- Position sizing: 1 CONTRACT