ICT - GAPs and Volume Imbalance

2022년 10월 25일

GAPs
Gaps are areas on chart where the price have moved sharply up or down, with no trading in between. Gaps often fill, but they don't have to.

Volume Imbalance
Volume imbalance - determined using 2 candles
Bullish Volume Imbalance - area between the close of 1st candle and the open of 2nd candle
Bearish Volume Imbalance - area between the close of 1st candle and the open of 2nd candle


How to use the indicator:-

When you find imbalance in volume or a GAP in the chart, you may expect price to rebalance it before continuation.

Importantly, GAPs/Imbalances do not always fill. Traders should never assume that a gap/imbalance will fill without understanding the reasons for the gap and monitoring trading activity around the gap.

Pair it with your current bias for better results.

2022년 11월 2일

릴리즈 노트

• Added Balanced Price Range to the script
  Added Fair Value Gaps to the script
  Box Border can now be modified
  Box length is extended till mitigated
  Mitigated Boxes can be hidden or differentiated with a unique color
  Box Labels can now be hidden
  other bug fixes
  

2022년 12월 16일

릴리즈 노트

- Added option to extend unmitigated Volume Imbalance Boxes
- Added option to disable extending unmitigated boxes

2022년 12월 25일

릴리즈 노트

• Added Option to extend all VI boxes (Mitigated/Unmitigated)
  

2022년 12월 29일

릴리즈 노트

- Volume Imbalance Mitigation Color Issue Fixed

2023년 1월 25일

릴리즈 노트

- Added option to change label color of Mitigated Box labels. Set it to 0% opacity to hide the text.

2023년 2월 14일

릴리즈 노트

- GAPs are now marked between bodies of the candles instead of wicks
- Added alert option for FVGs, VIs and GAPs

2023년 4월 15일

릴리즈 노트

1. Added Implied Fair Value Gap (I.FVG) [Toggle on/off] - Beta Version
2. Added New Mitigation Type - Engulf, Wherein body close is required for a gap/imbalance to be considered as mitigated. Default is set to "Engulf". Change it to "Mitigate" for the older model.
3. Default Mitigation type for GAP is set to Consequent Encroachment (50% of the Range)
4. Added alerts for I.FVG

2023년 4월 18일

릴리즈 노트

When price is inside a Box (FVG/VI/GAP/BPR/I.FVG), that particular box will be in spotlight compared to other boxes. It will be a treat to watch :)

2023년 5월 29일

릴리즈 노트

- Added Mid line (C.E.) for FVG Boxes. Toggle on/off enabled.
- Added alerts when price mitigates FVG,GAP, VI and Implied FVG Boxes (Works only when the mitigation type is set to engulf).

2023년 6월 2일

릴리즈 노트

- Minor Bug Fix

2023년 7월 7일

릴리즈 노트

- Minor bug fix

2023년 9월 7일

릴리즈 노트

bug fix

1월 10일

릴리즈 노트

Change in logic for plotting Volume Imbalances (VIs)

1월 14일

릴리즈 노트

Added new mitigation type for FVG Boxes called "Rebalance" wherein if a FVG is partially rebalanced, only the remaining unfilled range is extended in time.
When it is fully rebalanced (Candle low trading below bullish FVG or Candle high trading above bearish FVG), it stops extending further in time.
Box highlight feature (animation) and alerts will work for this mitigation type.

1월 23일

릴리즈 노트

Bug Fix

2월 26일

릴리즈 노트

Version 2.0

• Added Inverse FVG (FVG Mitigation must be set to ‘ENGULF’ for Inverse FVG to work)
  
• Added alerts for Inverse FVG formation and Mitigation
  
• Inverse FVG Box Limit option enabled
  
• Added Box Highlight feature (Animation) when price is inside Inverse FVG Box
  
• Added line types for FVG and Inverse FVG Consequent Encroachment (C.E.)
  
• Option for modifying the Label position for the Boxes enabled.
  
• Minor Bug Fix
  

2월 26일

릴리즈 노트

- Minor Bug Fix

2월 26일

릴리즈 노트

- Minor Bug Fix

3월 6일

릴리즈 노트

Version 2.1
Consecutive FVGs in the same direction can now be mapped as Liquidity Void using the new FVG mode "Liquidity Void".

3월 8일

릴리즈 노트

Version 2.2
- Included Volume Imbalance types (None/Classic/Advanced) for user selection. 'Classic' shows a specific type of Volume Imbalance, while 'Advanced' displays all variations.

3월 9일

릴리즈 노트

- Minor Bug Fix

8월 25일

릴리즈 노트

Version 3.0

• GAP types now include ‘True GAP’ and ‘GAP + Inefficiency’. True GAPs are price zones with no buyside or sellside delivery at all. GAP + Inefficiency, however, cover both regions where there's an absence of buyside and sellside delivery, and areas with one-sided price action (the gap between the close of the previous candle and the open of the current one).
  
• Added Consequent Encroachment (C.E.) for GAPs.
  
• GAPs now include the "Rebalance" mitigation type. The "C.E. Type" mitigation has been discontinued.
  
• BPR Boxes have been discontinued due to inaccuracies and flawed logic.
  
• Added alerts for Liquidity Void.
  
• A minor bug has been fixed in Advanced VIs where gaps were incorrectly labeled as VIs.
  
• Significant improvements have been made to the Implied FVG logic, including a major bug fix.
  

8월 25일

릴리즈 노트

- Minor Bug Fix

8월 26일

릴리즈 노트

- Minor Bug Fix

11월 21일

릴리즈 노트

Version 3.1
- Upgraded the code to Pine Script v6
- Settings now include an option to turn off box highlights (Animation) when price is within.
- Minor Bug Fix