Key takeaways
- A liquidity void is a fast, one-sided stretch of price, usually one large candle or a run of them, where little two-way trading took place.
- A void is broader than a single fair value gap and often contains one or more FVGs inside it.
- Price has a tendency, not a rule, to return into voids later and trade through part of them.
- Vacuum blocks are gaps created by news releases or session changes, where price jumps with almost no trading in between.
- Voids form in volatile conditions, so stops need room and position size must shrink to match.
Contents
Most of the time, price moves back and forth, and buyers and sellers trade against each other at almost every level. Occasionally price moves so fast that it skips that process. It covers a large distance in one or two candles, and very little two-way business happens along the way. ICT traders call that stretch of chart a liquidity void.
This lesson explains what a void is, how it relates to the fair value gap, why traders watch it, and how to keep risk under control when one appears.
What it is
A liquidity void is a one-sided price run with little overlap between candles. It usually shows up as:
- One very large candle, much bigger than the candles around it, with small wicks.
- A short series of large candles in the same direction, each opening near the previous close and barely overlapping it.
Inside that stretch, price was offered (or bid) in one direction only. Few orders traded in both directions, so the chart contains less "agreement" about value there than in the surrounding areas. The common ICT reading is that price has a tendency to return into voids later, trading back through part or all of them before the original move resumes or reverses.
That tendency is an observation traders use, not a law. Some voids are revisited within hours; others stay open for months, and some never are.
Void vs fair value gap
A fair value gap is a precise three-candle pattern: the gap between candle 1's wick and candle 3's wick. A liquidity void is a looser and usually larger idea, describing the whole fast leg. A single void often contains one or more FVGs, and the void's edges extend beyond them to the start and end of the run.
| Feature | Fair value gap | Liquidity void |
|---|---|---|
| Definition | Wick gap in a three-candle pattern | Whole stretch of a fast one-sided move |
| Size | Usually smaller | Usually larger |
| Drawn from | Candle 1 wick to candle 3 wick | Start of the run to the end of the run |
| Use | Entry zone, CE reference | Context, target area, broad rebalancing zone |
Some educators use the two terms almost interchangeably, so expect to see different drawing conventions.
Vacuum blocks
A related term is the vacuum block: a gap in price caused by a scheduled event, such as a major data release, or by a session change, such as the futures market reopening. Price jumps from one level to another with almost nothing traded in between. Vacuum blocks are treated much like voids: as areas price may later revisit. Opening gaps are covered in more detail in volume imbalance and opening gaps.
How to identify it
- Look for range expansion. Find a candle or run of candles that is clearly larger than the recent average on that timeframe.
- Check for one-sided flow. The candles should close in the same direction with small opposing wicks and little overlap.
- Mark the start and end. Draw the void from where the fast run began to where it stopped.
- Mark the FVGs inside it. These give you more precise levels within the broad zone.
- Draw the midpoint. The 50% level of the void is a common reference for a partial rebalance.
- Note the cause. Was it a news release, a session open, or a displacement after a liquidity sweep? Check the Economic Calendar for scheduled events.
Worked example: a news void on the Nasdaq 100 futures (NQ)
All prices are illustrative. NQ is quoted in index points.
Before the 08:30 ET US inflation release, NQ trades quietly near 18,420. The 08:25 ET candle on the 5-minute chart has a high of 18,430 and a low of 18,412.
- 08:30 ET candle: opens 18,422, high 18,426, low 18,331, closes 18,338.
- 08:35 ET candle: opens 18,338, high 18,352, low 18,305, closes 18,312.
Two large down candles with almost no overlap form a void from 18,426 (the high of the first fast candle) down to 18,305 (the low of the run). That is 121 points.
Inside the void sits a bearish FVG between the 08:25 ET candle's low (18,412) and the 08:35 ET candle's high (18,352), a 60-point gap.
| Level | Price (points) |
|---|---|
| Void top | 18,426.00 |
| FVG top (08:25 low) | 18,412.00 |
| FVG consequent encroachment | 18,382.00 |
| Void midpoint | 18,365.50 |
| FVG bottom (08:35 high) | 18,352.00 |
| Void bottom | 18,305.00 |
Void midpoint: (18,426 + 18,305) ÷ 2 = 18,365.50. FVG midpoint: (18,412 + 18,352) ÷ 2 = 18,382.
Price ranges for an hour, then rallies back into the void after the 09:30 ET equity open, reaching 18,388 at 10:10 ET. A trader with a bearish bias might plan a short at 18,380, just below the FVG's CE, with a stop at 18,416, four points above the FVG top. Risk is 36 points. A target at the void bottom, 18,305, is 75 points away, about 2.1 times the risk.
On NQ, one point is worth $20 per contract, so 36 points would risk $720 per contract. On the micro contract (MNQ), one point is worth $2, so 36 points risk $72 per contract. A trader risking $100 would trade one MNQ, not one NQ. The Position Size Calculator helps with forex; for futures, do the same math by hand.
The rebalance into the void is the setup context, not a guarantee. Price could just as easily have run through 18,416 and closed the whole void to the upside.
How traders use it
- As a target. An open void above or below price is a common draw. Traders may aim partial profits at the near edge or the midpoint.
- As context for entries. A retrace into a void gives traders a zone to look for an FVG or order block entry in the original direction.
- As a warning. A fresh void means volatility is high. Many traders wait for price to settle before trading near it.
- With range liquidity. Voids are often treated as part of internal range liquidity, an area price may revisit before reaching the next external high or low.
Trading in fast markets carries extra risk: spreads widen and stops can fill with slippage. Size smaller than usual.
Common mistakes
- Expecting every void to fill. Treat the tendency as a possibility. Some voids stay open for a long time.
- Fading the move too early. Selling into a fresh void because "it must fill" puts you against strong momentum.
- Confusing the void with the FVG. Use the void for context and the FVG for precise levels.
- Tight stops in thin price. A stop a few points inside the void can be hit by normal noise.
- Ignoring the news cause. A void caused by a major surprise can keep extending after the release.
Summary
A liquidity void is a fast, one-sided stretch of price with little two-way trading, usually made of one or more large candles. It is broader than a fair value gap and often contains FVGs inside it. ICT traders note a tendency for price to revisit voids, use their edges and midpoints as targets or context, and treat vacuum blocks from news and session changes the same way. None of this is certain, so give stops room and keep position size small when markets move this fast.
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Practice worksheet
Practice worksheet
4 exercises to try on paper. Print it, save it as a PDF from the print dialog, or download a plain-text copy.
- Open a 5-minute chart on a day with a major US data release at 08:30 ET. Mark the void created by the release and note how much of it was revisited by 12:00 ET.
- Find three voids on the 1-hour chart and list every fair value gap that sits inside each one.
- For one void, draw its midpoint and record whether price reached it, reacted at it, or ignored it.
- Compare a void created by news with one created by steady displacement. Which was revisited sooner?
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