alf44
2,025 posts
msg #46088
- Ignore alf44
modified |
7/27/2006 10:47:13 AM
maxxam80,
you ask:
"whats the point of this filter when stockfetcer posts results that are a day old so the gap has already occured and been filled?"
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As I understand this filter TheRumpledOne is attempting to scan for those particular stocks that...
..."statistically" have a very high probability (that is an over 80% chance) of FILLING their GAPS...
...based on their past price action !
Those particular stocks would then be watched closely...in anticipation of an UPSIDE or DOWNSIDE GAP at the OPEN...with the expectation that they would then "FILL THE GAP"...as "statistically" they have done in the past !
--------------------------------------
He is NOT looking for stocks that GAPPED...YESTERDAY !
Regards,
alf44
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maxxam80
108 posts
msg #46091
- Ignore maxxam80 |
7/27/2006 11:49:57 AM
ok i understand
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luc1grunt
622 posts
msg #46137
- Ignore luc1grunt |
8/1/2006 10:47:49 AM
"Picture perfect" gap fill on AAPL this a.m.. 67.17 to 67.93 (if you caught the entire fill). With the downturn, looks like a nice setup for a gap "up" Wednesday a.m.
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nikoschopen
2,824 posts
msg #46139
- Ignore nikoschopen |
8/1/2006 11:30:14 AM
But suppose you tried to fill yesterday's gap, which never got filled. You prolly would not be sitting so pretty by now. Just a thought on how a gap-play can cost ure shirt if you don't exercise caution.
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luc1grunt
622 posts
msg #46141
- Ignore luc1grunt |
8/1/2006 1:26:56 PM
agreed Niko...my post was in response to older questions of TRO on the strategy. Today showed a good one.
Yesterday I will say I got lucky for $1 on the big (and short lived) upswing from 67.29 to 68.31. Used volume as the only indicator.
All candidates will fail to fade the gap on occasion....Luc
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luc1grunt
622 posts
msg #46142
- Ignore luc1grunt |
8/1/2006 1:28:45 PM
and.....still working my stops on gappers. Been stopped out right before the positive shift, and have allowed my mental stop to be lowered only to get myself creamed. Still adjusting fire on this.
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TheRumpledOne
6,407 posts
msg #46148
- Ignore TheRumpledOne
modified |
8/1/2006 11:24:31 PM
FADING THE GAP...
The stock price has to move TOWARD the previous close BEFORE you enter the trade!!
Just because the gap does NOT fill, doesn't mean you lose.
Remember, 1000 times $.10 = $100.00
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veloman
10 posts
msg #46269
- Ignore veloman |
8/9/2006 12:46:03 AM
I wish I could buy 1000 shares of a big board like aapl! 68 grand lol. More like 100 shares.
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TheRumpledOne
6,407 posts
msg #46273
- Ignore TheRumpledOne |
8/9/2006 7:19:19 AM
Have you ever heard of MARGIN?
On TradeStation, you get 4:1 margin.
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nikoschopen
2,824 posts
msg #46275
- Ignore nikoschopen |
8/9/2006 9:02:12 AM
Margin is, well, like a double-edge sword. It can be both a recipe for success and a recipe for disaster, depending on how fail-prone or fail-proof ure system is. For the most part, the longest route tends to be the safest route. The best method of avoiding losses is, I'm told, to stay out when in doubt.
BTW, have you heard of OPTIONS?
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