Smart Fair Value Gaps (FVG) + MTF [Intelligent]

This indicator elevates the standard Fair Value Gap (FVG) concept by introducing an intelligent classification system, advanced filtering, and integrated Multi-Timeframe (MTF) analysis. It is designed to move beyond simple FVG detection, providing traders with a deeper, more contextual understanding of market imbalances. By analyzing the characteristics of each FVG relative to recent historical data, the script helps to distinguish between high-momentum gaps and potential exhaustion points.

What is a Fair Value Gap (FVG)?

A Fair Value Gap, or price imbalance, is a three-candle pattern where the wick of the first candle does not overlap with the wick of the third candle. This creates an inefficient price delivery area that the market often seeks to revisit or "mitigate" in the future.

• Bullish FVG: The space between the high of the first candle and the low of the third candle in a strong upward move.
  
• Bearish FVG: The space between the low of the first candle and the high of the third candle in a strong downward move.
  

Key Features

Intelligent FVG Classification: This is the core of the indicator. Instead of treating all FVGs equally, it classifies them into four distinct types based on their size and the volume on which they formed, relative to a dynamic historical baseline.

• 🟡 Power FVG: High Size & High Volume Ratio. Indicates a gap formed with strong conviction and momentum, often a good continuation signal.
  
• 🟣 Exhaustion FVG: Low Size & High Volume Ratio. Suggests a high amount of effort (volume) for little price movement, which may indicate a trend is losing steam.
  
• 🟠 Absorption FVG: High Size & Low Volume Ratio. A significant price gap was created with relatively little volume, suggesting a lack of resistance and potential for price to move easily through that area.
  
• 🔵 Normal FVG: Any FVG that does not meet the criteria for the other classifications.
  

Multi-Timeframe (MTF) Analysis: Plot FVGs from a higher timeframe directly onto your current chart. These HTF zones often act as powerful areas of support or resistance and provide crucial context for lower-timeframe price action.

Advanced Filtering Suite: Gain complete control over which FVGs are displayed to reduce chart noise and focus on what matters.

• Minimum Size Filter: Ignores insignificant micro-gaps by setting a minimum size requirement as a percentage of price.
  
• EMA Trend Filter: Only display FVGs that align with the broader market trend (e.g., only show Bullish FVGs when price is above the 200 EMA).
  
• Volume Filter: Qualify FVGs by requiring them to form on volume that is a specified multiple of its moving average, ensuring they are backed by significant market participation.
  

Comprehensive Customization: Tailor every aspect of the indicator to fit your personal trading style and chart aesthetic.

• Mitigation Rules: Define precisely when an FVG is considered "mitigated" and no longer valid. Choose from a full fill, a 50% fill (Consequent Encroachment), or a simple wick touch.
  
• Visuals & Data: Customize colors, borders, and box extensions. Toggle visuals for partial fills and the 50% CE line.
  
• Data Labels: Display key information directly on the FVG boxes, including size in percentage and ticks, the volume of the FVG candle, and the volume ratio compared to the average.