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Strategies & Market Trends : YEEHAW CANDIDATES

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To: Galirayo who wrote (19161)9/17/2006 10:21:16 AM
From: J.F.  Read Replies (1) of 23958
 
Gapology...simplistic question(s) - are all gaps created after hours or premarket? If so can a gap get filled during those periods of trading or would whatever gap that is being filled have to extend into regular hours to be considered a fill? Is the regular hour tape all that is considered valid.

I'm assuming the downgap has to fill for the stock to move up but is there a "rule" to upgaps as to which ones will most likely have to be revisited & filled or in the eyes of a gapologist is the gap less of a science and just something which the trader should be aware of in that it exists as a point/hole within the chart which something could occur?

Should a gap be evaluated as to how aggressively it was created and carried over into the day's/weeks/months activity and eventually the chart?

I've mostly looked at gaps as either a point of potential resistance on a move up or a potential situation where a stock will either rebound or fail.

CPST has on multiple occasions failed to hold and, I guess, one could say the revisiting of the gap at 1.36 would be no surprise. My read is that it won't but I don't think I'll fall out of my chair if it does.

thanx...

jf...
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