PRO-GAP Tutorial
Today is Monday and GBPAUD formed a PRO-GAP
Definition of pro gap is:
the gaps' direction is the opposite of the last candle's direction.
We can see Last Friday's closing price was 1.6793
and this morning's opening price was 1.6849
which means all the sellers who sold in the last candle were trapped.
Therefore a good trading plan was developed:
wait for price to pull back and buy
it actually pulled back into the last candle's opening price.
and it is also a 0.618 level.
Buy from 1.6814, SL 1.6790
and the result is almost 7 times Reward/Risk Ratio
Today is Monday and GBPAUD formed a PRO-GAP
Definition of pro gap is:
the gaps' direction is the opposite of the last candle's direction.
We can see Last Friday's closing price was 1.6793
and this morning's opening price was 1.6849
which means all the sellers who sold in the last candle were trapped.
Therefore a good trading plan was developed:
wait for price to pull back and buy
it actually pulled back into the last candle's opening price.
and it is also a 0.618 level.
Buy from 1.6814, SL 1.6790
and the result is almost 7 times Reward/Risk Ratio
Comment:
I hope you guys can learn from this tutorial and identify the PRO-GAPS and trade
Comment:
i made a mandarin version as well in cn.tradingview.com
it is a bit troublesome for me coz i need to published two times
it is a bit troublesome for me coz i need to published two times