1) As much as possible, we want to avoid stocks that have a history of Price Gaps as we wouldn't want to be caught in a situation where we're more than 1R in a loss. This really messes up our risk-reward ratio.
2) It came to my attention that this looks suspiciously like a . If we go back to basics, a after a downtrend signals a continuation pattern where the main trend (i.e. Downtrend) is to continue.
Then again, markets are irrational and if you still insist on trading , do wait for the breakout, retracement and confirmation before entry. Cheers!