Fair Value Gaps - Cucaracha

📘 Fair Value Gaps (FVG) – Clean, Automatic Detection & Real-Time Tracking

The Fair Value Gaps (FVG) indicator automatically detects and visualizes Bullish and Bearish Fair Value Gaps directly on your chart. Built with precision, it highlights imbalance zones, continuously extends them in real time, and removes them the moment they’re mitigated — giving you a clean and accurate market structure view.

✅ Key Features

Automatic FVG Detection
Identifies bullish and bearish FVGs using a strict 3-candle imbalance model.

Dynamic Boxes
Each detected FVG is drawn as a shaded box and extends forward until price fills or mitigates the zone.

Auto-Cleanup (Mitigation Logic)
When price returns to the gap and fills it, the zone is instantly removed, keeping your chart clean and focused.

Custom Colors
Choose your own colors for bullish and bearish FVG boxes.

🎯 Why Traders Use This

Fair Value Gaps are widely used in:

Smart Money Concepts (SMC)

ICT-style trading

Market imbalance analysis
They highlight areas where price moved aggressively and may later return to rebalance.

This indicator helps you:

Spot institutional imbalances instantly

Track unmitigated FVGs without manually drawing boxes

Stay focused on key reaction zones

Improve entries based on premium/discount and liquidity concepts

🧠 How It Works

Bullish FVG:
Occurs when price leaves a gap where low[1] > high[3], creating an upward imbalance zone.

Bearish FVG:
Occurs when high[1] < low[3], indicating a downward imbalance zone.

Detected gaps are plotted as forward-extending boxes until price mitigates them.

Once mitigated (price fills the gap), the zone is automatically removed.

🟦🟥 Visuals

Blue (or your chosen color): Bullish FVG

Red (or your chosen color): Bearish FVG