Lesson / WY-02-08
A gap is a price interval between adjacent observation periods not covered by trading in that chart. An upward gap may have the current low above the previous high; a downward gap is the reverse. The looser term “opening gap” compares only the current open with the previous close. Name them separately. Gaps can arise from information during a closure, call auctions, insufficient liquidity, or price limits. Appearance alone cannot establish necessarily strong demand or supply.
Course content is for learning and research only. It is not investment advice.
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7 lessons · Chapter contents
01Open, High, Low, and Close: Checking the Basic Data↗02High-Low Spread, Body, and Wicks: Different Measurements↗03Closing Position: Where Price Finishes within the Bar↗04Relative Range: Comparing a Bar with Earlier Volatility↗05Progress, Overlap, and Reactions across Successive Bars↗06Gaps, Unfinished Bars, and Observation Time↗07How Structural Location Qualifies a Single Bar↗Observe the market: start with context and place price within its structure.
Understand structure: compare supply and demand, and let evidence support or revise your hypothesis.
Form a view: define risk limits and know when to reassess.
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Understanding Volume
From Single Candlesticks to Swing Comparisons
