A Fair Value Gap is one of the most precise concepts ICT introduced to retail trading. The premise: a 3-candle pattern where the middle candle’s range creates an “imbalance” — the wick of candle 1 doesn’t overlap candle 3. That gap represents where price moved too quickly, and the market often returns to “fill” it before continuing.
Below is the FVG MT4 indicator that auto-detects these gaps, the fill-entry strategy I trade live on M15, and how FVGs pair with order blocks for high-confluence entries.
What is a Fair Value Gap?
A Fair Value Gap (also called an “imbalance” or “FVG”) is a 3-candle pattern:
- Bullish FVG — candle 1 high < candle 3 low. The gap between them = imbalance.
- Bearish FVG — candle 1 low > candle 3 high. Same logic in reverse.
The institutional logic: during the impulsive middle candle, one side overwhelmed the other so completely that price gapped past where buyers (or sellers) would normally be. Those missed orders sit in the gap zone. When price returns to the gap, those orders fill — and price typically continues in the original direction.
The 50% mid-point of an FVG is where the highest concentration of unfilled orders sits. ICT teaches that price needs to fill at minimum to the 50% level before the FVG is “mitigated”.
The “minimum size” filter matters. Tiny FVGs (under 5 pips on EURUSD) are noise — they fill on every minor pullback. Our indicator filters by point size (default 50 points = 5 pips on 5-digit majors).
How Fair Value Gaps Work on MT4
Our FOB_FVG.ex4 scans the last 200 bars (configurable), identifies every 3-candle imbalance, and draws coloured rectangles. By default, gaps that price has already filled get hidden (so you only see actionable ones).
Three patterns matter for forex traders.
The first is fresh FVG fill. A “fresh” FVG hasn’t been touched. When price returns to it for the first time, the fill rate is high and the bounce that follows is usually clean.
The second is FVG + OB confluence. An FVG that overlaps with an order block at the same price = double-edge entry. ICT traders prioritise these stacked setups; in my testing they have meaningfully higher hit rates than either signal alone.
The third is partial vs full fill. Some traders enter at the first wick into the FVG (10-20% fill); others wait for the 50% mid-point. The 50% entry has a slightly lower miss rate but a slightly tighter stop. Either works — pick one and stay consistent.
Key Features
- Custom MT4 indicator (FOB_FVG.ex4)
- Auto-detection of bullish + bearish FVGs
- Configurable lookback (default 200 bars)
- Configurable minimum gap size (default 50 points)
- Optional hiding of filled gaps
- Coloured rectangles extend forward to current price
- Non-repainting
Best Settings for FVG Indicator
The defaults work for most timeframes.
| Use Case | Lookback | Min Size (points) | Best Timeframe |
|---|---|---|---|
| Scalping | 100 | 20 | M5 |
| Day Trading | 200 | 50 | M15 / H1 |
| Swing | 300 | 100 | H4 |
| Position | 500 | 200 | D1 |
Recommended starting point: M15 EURUSD with 200-bar lookback, 50-point min size, hide-filled = true.
Pros and Cons
| Pros | Cons |
|---|---|
| Mathematically precise — 3-candle definition is unambiguous | Custom install required — not built into MT4 |
| High fill rate — price almost always returns to fresh FVGs eventually | “Eventually” can mean hours or days — patience required |
| Pairs perfectly with order blocks for ICT confluence | Tiny gaps (without min-size filter) produce noise |
| Works on all timeframes from M1 to D1 | Best on lower timeframes (M5-H1) where gaps are more frequent |
How to Install FVG Indicator on MT4
The FVG indicator is custom. See install custom indicators on MT4.
Step 1: Download FOB_FVG.ex4 from the form below.
Step 2: MT4 > File > Open Data Folder > MQL4 > Indicators. Drop the .ex4 in.
Step 3: Restart MT4 (or refresh Navigator).
Step 4: Drag FOB_FVG onto your M15 chart with default settings.
Step 5: Save as a chart template (“FVG-M15”) for one-click reuse.
Trading Strategy: FVG Fill
The cleanest FVG strategy. Best on M15 EURUSD, GBPUSD during London/NY sessions.
Setup: FOB_FVG + 50 EMA on price for trend context.
Long Entry (bullish FVG fill):
1. H1 trend is up — price above H1 50 EMA
2. On M15, identify a fresh bullish FVG (green rectangle, untouched)
3. Wait for price to retrace down into the FVG (50% level minimum)
4. Enter long when price prints a bullish rejection candle within the FVG
5. Stop loss 5-10 pips below the FVG bottom
6. Take profit at 1.5-2.5R (typically the next swing high)
Short Entry (bearish FVG fill):
1. H1 trend down — price below H1 50 EMA
2. Fresh bearish FVG (red rectangle, untouched)
3. Retracement up into FVG (50% level minimum)
4. Enter short on bearish rejection candle close
5. Stop loss above FVG top
6. Take profit at next swing low
The discipline that matters: trade FVG + OB confluence preferentially. An FVG that overlaps with a fresh order block has noticeably better win rate than either signal alone.
FVG vs Order Block
Both ICT concepts. Different definitions.
| Feature | FVG | Order Block |
|---|---|---|
| Pattern | 3-candle imbalance | Single opposing candle + impulse |
| Definition | Mathematically precise | Subjective (impulse threshold) |
| Best for | Precision entries on lower TF | Structural levels on higher TF |
Verdict: Use both. FVGs for entry precision; OBs for structural context. Stack them at the same level for highest-confluence trades.
Frequently Asked Questions
Is the FVG indicator free?
Yes. Our FOB_FVG.ex4 is free below.
Does the indicator repaint?
No. Once a 3-candle pattern qualifies as an FVG, the zone is locked.
What’s the minimum FVG size that’s tradable?
50 points (5 pips on 5-digit majors) on M15. Smaller gaps are noise. On M5 try 30 points.
How long do FVGs stay valid?
There’s no expiry — an unfilled FVG remains valid indefinitely. In practice, FVGs older than 100 bars rarely get filled.
Can I use this on MT5?
Yes. Our enhanced version supports both platforms.
Download FVG Indicator for MT4 – Free
FVG detection isn’t built into MT4. Our free FOB_FVG.ex4 gives you:
- Auto-detection of bullish + bearish 3-candle imbalances
- Configurable minimum size filter to skip noise
- Optional hide-filled mode (only show actionable gaps)
- Coloured rectangles extending forward to current price
- Non-repainting
Platform: MT4 (Build 1000+)
File type: .ex4
File size: 17 KB
Version: 1.0
Last updated: May 2026
Download the FVG Indicator – Free Instant Access
No payment. No catch. Enter your email below and the FVG Indicator file lands in your inbox within 60 seconds. Here’s everything you get:
- The non-repainting FVG Indicator file (.ex4) – install in 30 seconds
- Step-by-step installation guide with chart screenshots
- Best-performing settings for scalping, day trading, and swing trading
- The exact FVG fill rules I use in live trading
- Weekly trading insights from a developer with 16+ years of market experience
Download the FVG (Fair Value Gap) Indicator – Free Instant Access
No payment. No catch. Enter your email below and the FVG (Fair Value Gap) Indicator file lands in your inbox within 60 seconds. Here’s everything you get:
- The non-repainting FVG (Fair Value Gap) Indicator file (.ex4) – install in 30 seconds
- Step-by-step installation guide with chart screenshots
- Best-performing settings for scalping, day trading, and swing trading
- The exact entry and exit rules Dom uses in live trading
- Weekly trading insights from a developer with 16+ years of market experience
100% free forever. Your email is safe – we never sell, share, or spam. Unsubscribe with one click anytime.
By downloading, you agree to receive trading tips and indicator updates from ForexOBroker. Unsubscribe anytime.
Overall Rating: 4.6/5
| Category | Rating |
|---|---|
| Accuracy | 4.7/5 |
| Ease of Use | 4.6/5 |
| Features | 4.5/5 |
| Value | 4.8/5 |
Related Indicators
- Order Block Indicator MT4 – The structural cousin of FVGs
- Liquidity Zone MT4 – The third leg of the ICT toolkit
- Smart Money Concept MT4 – Full SMC stack including FVG
- best ICT indicators for MT4 – The full ICT pack
Trading forex involves significant risk of loss and is not suitable for all investors. Past performance is not indicative of future results. The indicators provided on ForexOBroker are for educational purposes only. Always use proper risk management and never trade with money you cannot afford to lose.
