WickCheck / Trading school / Displacement

DisplacementAdvanced

A fast, strong move made of large candles, often leaving fair value gaps behind.

gapdisplacement
Simplified illustration, not real market data.

What it means

Displacement shows that one side of the market is in control. Traders use it to separate meaningful breaks from noise.

WickCheck can require a minimum gap size relative to ATR, which is a simple way to demand displacement.

How to spot it

Common mistakes

Related terms

Fair value gapA three-candle pattern where the wicks of the first and third candle do not over…Market structure shiftA break of the opposite swing, usually with a strong, fast move, that signals pr…Break of structureA candle closing beyond the last swing high (bullish) or swing low (bearish) in …
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