An update on the Turkey Day gapfill idea posted last month! We achieved 64% gapfill which made for some great gains!
When looking for Gapfills, its important to not set your expectations too high! Often times a gap will only be partially filled because a gap us USUALLY an overreaction... Strip off the "over" part and its just a REACTION, which means when you strip away all the emotion fear and fomo, its going to have SOME reaction to the news that caused the OVERreaction. I like to set my sights between 60-75% of the Gap for taking profits. If the gap is 20$ i may shoot to take profits when the fill has reached 15$ or so. It's all contextual to the news and catalysts (and of course the ticker) that you're dealing with.
none-the less, Gapfills are a fun setup to play -- just be realistic in your expectations and dont be greedy.
Plan your trade, Trade your plan!
Come have a chat with me and the MD Live community about YUM and dozens of other tickers: discord.gg/MfaRPp4
When looking for Gapfills, its important to not set your expectations too high! Often times a gap will only be partially filled because a gap us USUALLY an overreaction... Strip off the "over" part and its just a REACTION, which means when you strip away all the emotion fear and fomo, its going to have SOME reaction to the news that caused the OVERreaction. I like to set my sights between 60-75% of the Gap for taking profits. If the gap is 20$ i may shoot to take profits when the fill has reached 15$ or so. It's all contextual to the news and catalysts (and of course the ticker) that you're dealing with.
none-the less, Gapfills are a fun setup to play -- just be realistic in your expectations and dont be greedy.
Plan your trade, Trade your plan!
Come have a chat with me and the MD Live community about YUM and dozens of other tickers: discord.gg/MfaRPp4
