Three Day Gap Fill Trading Strategy

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Three-Day Unfilled Gap Reversals. PLEASE LIKE AND SHARE THIS VIDEO SO WE CAN DO MORE! Trading Setups and Strategies. This one is called the Three Day Gap Fill developed by Linda Bradford Raschke. Look into some of our past videos to check some of her other strategies or at least great foundations to build your own strategy from. These rules are for the buy side, the rules for the sell side are basically identical – just flip highs and lows with buys and sells.

Gaps are used often in technical analysis to help with decision-making. There are different gap types such as breakaway gaps
or exhaustion gaps which come at the extremes. The Three Day Unfilled Gap Reversal signals periods where the stock has exhausted itself and a reversal is close at hand.

Three Day Gap Fill (Buy)
1) If today gaps lower and does not fill the gap – Then
2) Place a buy stop entry just above the high of the gap down day.
3) If filled, put a stop under the gap down day low
4) Buy entry is only valid for 3 days

So you’re looking for that downside momentum (gap down) – attempt to push back up and the next day you’re buying the continuation if you like.

Related Videos (use the search function to find more related videos)
Understanding Intraday Price Gaps: How a Gap is Formed ?
Using Gaps as a Day Trading Strategy Part 1 ?
Gap Trading Strategies: The Breakaway Gap Setup Part 2 ?–C1s
How to Trade Gaps: Trading Continuation with Runaway Gaps Part 3 ?
How to Trade Gaps: Gap Trading by Strength Part 4 ?
How to Trade Gaps: Gap-Fill Trading Strategy Part 5 ?
Three Day Gap Fill Trading Strategy
A Gap Trading Strategy for Day Traders ?


Gregory Francis says:

I did my own research accross 3 random shares over 6 months on a daily chart. Some shares behave better than others, but it could be quite labourious to trawl charts in the evening looking for gaps. Provident financial provided some good opportunities on this system this year. I would join a group of people and i would watch 10 shares and notify of any gaps in my quota on a reciprocal basis. Thats how i see this working.

Alan Welsh says:

Hello, What do you think about Forex Divergence. ty


What seperates this channel from everyone else on youtube trying to do these videos is your offering this information for free and theres no program offer at the end. Honestly i thank the person who introduced me to forex and i can truly thank this youtube channel for knowledge 🙂

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