Most gaps fill within the same or next session. Trade the reversion back to the previous close when a gap shows signs of rejection.
Indicators Used
Gap DetectionVWAPVolume
Rules
๐ Gap Down Fill (Long)
- Market gaps down at open (below prior close)
- Wait 15-30 minutes for opening range
- If price holds above gap low and bounces โ go long
- Target: Previous close (gap fill)
- Stop: Below the gap low
๐ Gap Up Fill (Short)
- Market gaps up at open
- Price fails to hold above gap high
- Enter short on rejection
- Target: Previous close
67%
Fill Rate
1.8:1
Avg R:R
3-5
Trades/Week
๐ก Pro Tip
Common gaps (within a range) fill 70% of the time. Breakaway gaps (from key levels) only fill 30% of the time. Know which type you are trading.