InvestorsHub Logo
Followers 6456
Posts 162925
Boards Moderated 4
Alias Born 06/04/2009

Re: trader53 post# 25732

Sunday, 10/01/2017 3:50:02 AM

Sunday, October 01, 2017 3:50:02 AM

Post# of 79854
ADTM Gaps at 0.0018 and 0.0028 will get filled

* July 2016 - Gaps at 0.0018 and 0.0028

(See Chart below)

________________________________________________________________

Educational Post: "Trading Gaps"

MOST all "Gaps" fill.
They are caused by "retail emotion",
and when emotion leaves,
the long share holders,
bring the stock price back to a reasonable,
average new price level.

"Gaps" don't need to fill.
They normally do!


90% of all "Gaps" fill !

"Emotion" causes the "Gaps" in price!

If you see a "Gap",
expect the price to come back and correct the emotion!


When some news event, or, manipulation happens,
the price swings to extreme,
leaving "gaps" in the price,
from the previous day close,
to the next mornings open.

A "Gap" is seen,
when the day before close price,
is lower then the next mornings open price,
or vice versa.

There are 4 types of gaps:
> Common Gaps
> Breakaway Gaps
> Runaway Gaps
> Exhaustion Gaps

Common Gaps are always closed.
They occur with a one day pop, usually,
and the lack of a second day continuation,
shows why they fill!
There is NO real emotion.







Breakaway Gaps are usually closed over time.
You see them in a multiday emotion run,
or walkdown,
where the stock price is trending around,
over several months.
The retail mindset returns to logic,
and fills the gap with the retrace.

Runaway Gaps are often the "few" that don't fill.
They take months, to a year, or more,
and should NOT be played.
You don't look back that far,
to see the gap fill at all!
Basically every thing just continues, lower!

Exhaustion Gaps are rarely seen.
They happen at the end of a move,
and show that the retail mindset
has reached an "enough is enough" point.
Everyone just gives up.

Gaps and Gap Analysis
http://stockcharts.com/school/doku.php?id=chart_school:chart_analysis:gaps_and_gap_analysis

https://investorshub.advfn.com/boards/read_msg.aspx?message_id=76226544








Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.