I have always traded gaps, but never knew the statistical numbers behind it. Keep up the good statistical/percentage info posts. I am sure you have a number of other statistical itemsthat help with the odds.
Finally, thought they would never try to take this back up today! I have a hard time holding long positions, as it is uncomfortable. That said, it will probably work!
JDT, the drop yesterday and today this morning were retracement. On Wednesday, it shot up from 105 to above 107. It needs to spend some time in the 106 area first.
Here is my take on the Bulls and Bears perspective.
Bulls mode: 1. The trend is still up. 2. Most stocks are in a breakout mode.
Bears mode: 1. Today action make lower high and lower lower. Also it had been trading in the lower half of yesterday range. 2. The market is overbought.
I sold out before the end of day sell off when SSO rallied back to four day trend line. I think the close looks bearish. 60 min and 15 minute charts broke down.
Just went long SSO. OPEX is scary, but I think 107.5 test is correct as well. Watching hourly candle stick closely
ReplyDeleteFYI, if the market gaps up or down between 30 to 80 points in the morning, there is around 70 to 80% the gap will be fill the same day.
ReplyDeleteAlso if the market gaps up or down 30 to 80 points and quickly hit more than 100 point within 30 minutes trading, it will close more than 100 points.
Keep this mind.
I have always traded gaps, but never knew the statistical numbers behind it. Keep up the good statistical/percentage info posts. I am sure you have a number of other statistical itemsthat help with the odds.
ReplyDeleteFinally, thought they would never try to take this back up today! I have a hard time holding long positions, as it is uncomfortable. That said, it will probably work!
ReplyDeleteJDT, the drop yesterday and today this morning were retracement. On Wednesday, it shot up from 105 to above 107. It needs to spend some time in the 106 area first.
ReplyDeleteHere is my take on the Bulls and Bears perspective.
ReplyDeleteBulls mode:
1. The trend is still up.
2. Most stocks are in a breakout mode.
Bears mode:
1. Today action make lower high and lower lower. Also it had been trading in the lower half of yesterday range.
2. The market is overbought.
Gold stocks are in a pullback mode.
Have a good weekend.
I sold out before the end of day sell off when SSO rallied back to four day trend line. I think the close looks bearish. 60 min and 15 minute charts broke down.
ReplyDelete