Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : India Coffee House -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (1534)	6/11/1998 8:01:00 PM
From: JPR	Read Replies (2) \| Respond to of 12475

Mohan: Gap Open Technique is open for many interpretations. Let me tell you the two variations of the technique. 1: Stock gaps (up) open during the trading day (9.30Am to 4PM) 2: Wait for at least half hour, for all the pent-up sells and buys are over. This half hour can be extended to 3/4 to 1 hour after the open. 3: Entry point is only when the stock trades 1/4 point above the highest price during this wait-period. The longer you wait, safer it is, less riskier and may be less profitable. 4:A variation of this technique: After the stock gaps (up) open, Wait until the stock falls the lowest and buy at the first tick up. That will be your entry point. Pitfalls: Sometimes the stock goes up after the entry point only to fall later in the day below the entry price. No fool-proof methods. Protect yourself by entering stop loss orders I like #4. Your comments are welcome. JPR