playing gaps

Discussion in 'Trading' started by TKOtrader, Nov 4, 2002.

  1. (newby trader here....bare with me,please) but i was wondering what is the strategy on playing gaps. If there is a big gap up how would you traders play it (if you play gaps)
  2. cheeks


    Try the search button. There is a good thread started by brandonf
  3. bobcathy1

    bobcathy1 Guest

    Basically it is as follows.

    If it gaps up short it first thing.
    If it gaps down go long first thing.
    Hold it for about 5-15 minutes and get the heck out.
    This is only for traders with fast trading platforms.

    There is an easier way to see it with QQQ and SPY.....put up the NQ.E or ES.E which is the 23 hour chart for the EMINI. Set it for 1 minute with bollinger bands.....once it touches the opposite band, close the position.
  4. thanx everyone !!!