Quantura - Fair Value Gap

Introduction
“Quantura – Fair Value Gap” is a precision-engineered institutional concept indicator designed to automatically identify, visualize, and manage Fair Value Gaps (FVGs) across any market or timeframe. It enables traders to observe price inefficiencies, potential liquidity voids, and retracement areas that often act as magnets for price rebalancing.

Originality & Value
Unlike many public FVG scripts that only highlight candle gaps, this indicator integrates dynamic filters and adaptive logic to determine the strength and reliability of each gap. It merges overlapping zones intelligently and optionally extends valid imbalances forward for ongoing reference.

Its value lies in:

• Dynamic statistical filtering based on gap standard deviation.
  
• Optional volume confirmation for high-confidence FVGs.
  
• Automatic merging of overlapping or adjacent gaps for clean visualization.
  
• Support for both bullish and bearish imbalances.
  
• Signal alerts when gaps are filled or rebalanced by price.
  

Functionality & Core Logic

• Detects Fair Value Gaps by comparing candle-to-candle price displacement.
  
• Applies a Gap Filter (standard deviation-based) to qualify valid gaps.
  
• Optionally validates gaps formed under significant volume conditions.
  
• Draws color-coded boxes to mark bullish (discount) and bearish (premium) inefficiencies.
  
• Monitors each FVG until price fills the gap, at which point the box is visually closed.
  
• Provides optional signal markers (“▲” or “▼”) when rebalancing occurs.
  

Parameters & Customization

• Gap Filter: Sets the minimum statistical deviation required for a valid FVG. Higher values detect fewer, stronger gaps.
  
• Volume Filter: Toggles additional validation using relative volume strength.
  
• Volume Sensitivity: Adjusts how much above-average volume must be present to confirm a gap.
  
• Bullish/Bearish Colors: Customize color schemes for imbalance zones.
  
• Extend Gaps: Optionally extend open gaps forward for better confluence tracking.
  
• Signals: Enables or disables gap-fill signal markers.
  

Visualization & Display

• Bullish FVGs: Appear in blue-tinted boxes, indicating potential demand-side inefficiencies.
  
• Bearish FVGs: Appear in red-tinted boxes, representing potential supply-side inefficiencies.
  
• Overlapping zones are merged automatically to maintain clarity.
  
• Filled gaps remain visible for historical context, allowing for post-event analysis.
  
• Optional signal arrows display when price returns to rebalance an FVG.
  

Use Cases

1. Identify institutional inefficiencies and liquidity voids.
   
2. Detect premium and discount levels in trending markets.
   
3. Combine with market structure or order block indicators for confluence.
   
4. Track when price rebalances inefficiencies to refine entry/exit points.
   
5. Build FVG-based algorithmic strategies that rely on structural imbalance resolution.
   

Limitations & Recommendations

• The indicator detects structural imbalances but does not predict future direction or guarantee profitability.
  
• Volume filters may behave differently across brokers due to data-source differences.
  
• Use alongside structure or liquidity tools for enhanced decision-making.
  
• Extreme volatility or illiquid assets may generate temporary invalid gaps.
  

Markets & Timeframes
Compatible with all markets (crypto, forex, equities, indices, futures) and all timeframes. Recommended for multi-timeframe confluence analysis — e.g., detecting higher-timeframe FVGs and refining lower-timeframe entries.

Author & Access
Developed 100% by Quantura. Published as a Open-source script indicator. Access is free.

Compliance Note
This description adheres fully to TradingView’s House Rules and Script Publishing Requirements. It provides a detailed explanation of originality, core logic, limitations, and appropriate use — with no unrealistic or misleading performance claims.