Just as in trading your so called 'noise' ....you are either right or you get stopped out ( not really wrong, but not right ) ....you can do the same trading these so called noiseless gaps.....
The basis would be the same as trading your 'noise'...look for a pattern of up/down gaps and place a bet it would continue in that direction.....
you don't get stopped out - there is no trading between the two levels. you just find yourself at the next level with a loss or gain of whatever proportion the market deemed "rational".
\ I understand.....but who said you need to get out at the next gap...you could ride a winner 10 gaps and cut your loss at lets say 1 or 2 gaps...same logic as trading your 'noise'..am i missing something????
so you are saying it is tradable??? my point is extracting money from market ( tradable ) ....noise or no noise... 'bring the noise' ...chuck D; public enemy