MBZ Model Type 4 - Continuation ModelE-mini Nasdaq-100 FuturesCME_MINI:NQ1!unlimitedmoneyprinterMBZ Model Type 4 is a continuation pattern built around the failed displacement of a Fair Value Gap, followed by structural confirmation in the original trend direction. Once the formation completes, it projects forward extension levels that mark where delivery is expected to resume after a controlled retracement through prior inefficiency. Type 4 is the continuation variant in the MBZ Model series. Where earlier types in the series focus on reversal logic at structural extremes, Type 4 is designed to capture the moment a trending market reasserts itself after dipping back into an unfilled imbalance. Core Concept The model is built from three sequential candle conditions, each of which must form in the correct order for the setup to be considered valid. The formation begins with a Fair Value Gap (FVG) delivered in the direction of the prevailing trend. In a bullish scenario this is a Buy-Side Imbalance / Sell-Side Inefficiency (BISI), formed by a three-candle sequence where the high of the first candle sits below the low of the third. In a bearish scenario the inverse condition applies (SIBI). The FVG represents an unfilled price inefficiency and serves as the structural anchor for the rest of the formation. The next required element is C1, the opposing candle. C1 is a candle whose direction opposes the prevailing trend and which displaces into the FVG region. In a bullish setup C1 is bearish and pushes price back down through the imbalance, representing a counter-trend reaction tapping into the inefficiency. C1 alone does not validate the model — it only sets the conditions for confirmation. The setup is completed by C2, the confirmation candle. C2 must close past 50% of C1's body in the original trend direction. This close demonstrates that the opposing displacement of C1 has failed, that participants have rejected the counter-trend move, and that delivery is resuming in the direction of the underlying bias. The mid-body close is the threshold that locks in confirmation. When all three conditions are satisfied in sequence — FVG, C1, C2 — the MBZ Type 4 formation is valid, and the projection phase begins. How To Use Type 4 is a discretionary read on price action, not a standalone signal. After a valid formation appears, the C2 confirmation candle serves as the entry reference, the T4 zone as structural invalidation, and the 1/2/4 projections as staged objectives for the continuation leg. The model is most reliable when higher-timeframe bias is aligned with the direction of the FVG and when the formation occurs after a clean impulsive leg rather than inside choppy consolidation. It is intended to be applied within a broader framework of market context and bias, not in isolation.