There is often talk of a gap in the market, and it comes with an addendum
Three forms of gaps
Breaking through the gap:
It occurs when the market starts to rise, when the price consolidates for a period of time and then breaks through upward or downward, with a large amount of trading volume and no cover. The larger the gap, the greater the volatility in the future.
Relay gap:
After the relay consolidation pattern, a gap appears with a large amount of trading volume, and the lack of cover indicates that the trend will continue.
Exhaustion gap:
It occurs when the market starts to rise, when the price consolidates for a period of time and then breaks through upward or downward, with a large amount of trading volume and no cover. The larger the gap, the greater the volatility in the future.
