SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : ajtj's Post-Lobotomy Market Charts and Thoughts
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: ajtj99 who wrote (70685)9/29/2022 11:06:15 PM
From: Sun Tzu  Read Replies (1) of 97958
 
Let's see if I understand the center gap theory.
(1) it is a theory to estimate the endpoint target for a strong trend that has 2 gaps in it.
(2) you find the midpoint between the start of the trend before the first gap and the 2nd gap, and you assume that the trend will continue for the same length.

So in this case, SPX had a high of 4119 on Sept 12 before it gapped down. And then it gapped down again on Sept 23 from 3758 (close on the day before). So 4119 - 3758 = 361. Subtract that from 3758 --> 3397 as the final destination, right? Or do you subtract it from the close of the gap day (3693) to arrive at 3332.

Do I have it right?

This picture has two gaps on the way up and two on the way down. Could you apply the theory on both directions?

Let me know if you can't see the picture below


Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News