Fair Value Gap - 3
Check out the Fair Value Gap - 2.
III — Sellside Imbalance Buyside Inefficiency (SIBI)
A bearish FVG is a SIBI. A SIBI is made up of 3 consecutive candlesticks :
1- The low of the first candle is the FVG high
2- The second candle is a displacement in price
3- The high of the third candle is the FVG low
Sellside Imbalance Buyside Inefficiency (SIBI) because during the second candle there was only sellside offered to the market so there’s a Sellside Imbalance and because there is no buyside being offered there’s a Buyside Inefficiency.
