The three candles

A fair value gap has one shape, and the shape is exact. Once you know it, you either have one or you do not.

Three candles, not one

The large candle is what catches your eye. It is not the gap by itself.

The gap is measured across three candles side by side: the candle before the large one, the large one, and the candle after it. Call them candle 1, candle 2 and candle 3.

Candle 2 is the move. Candles 1 and 3 are what you measure with.

One candle makes the move, three candles define the gap.

Where the gap sits, rising