Comparison
Fair Value Gap vs Order Block
Both come from smart money concepts and both mark areas price may revisit after a strong move. An order block is a candle: the last opposite-coloured candle before the move. A fair value gap is a space: the gap between the first and third candles' wicks inside a fast three-candle move. They often sit next to each other, with the order block at the start of the move and the gap just above or below it.
Fair value gap (FVG)
A fair value gap is a three-candle imbalance where the first and third candles' wicks do not overlap, leaving a gap the middle candle moved through.
Order block
An order block is the last opposite-coloured candle before a strong move, treated as a zone where large orders may have been placed.
Side by side
| Aspect | Fair value gap (FVG) | Order block |
|---|---|---|
| What it is | A gap between two candles' wicks | A single candle before the move |
| How it is drawn | From the first candle's wick to the third candle's wick | Around the high and low (or body) of that candle |
| What it describes | One-sided, fast movement | Where large orders may have been placed |
| Typical use | Partial fill and reaction zone | Reaction zone on a return |
How to tell them apart on a chart
- Ask whether you are marking a candle (order block) or empty space between wicks (fair value gap).
- Order blocks come before the impulsive move; fair value gaps sit inside it.
- Where both line up, traders treat the area as stronger, but neither guarantees a reaction.
Frequently asked questions
Which is more reliable?
Neither on its own. Both are areas of interest that need confirmation from price.
Do they work outside smart money concepts?
The same areas appear in classic analysis as the base of a move and as unfilled space after a fast move.
Glossary entries
Related comparisons
Educational content only, not financial advice. Chart patterns describe probabilities, not certainties, and every pattern can fail. See our disclaimer.