This chart shows recent gaps with more than 20% in magnitude and what happened next within 1 to 3 months afterward. In average, we have seen about 65% upward movement in that time frame. One interesting fact is the decreasing timeline as the stock gains popularity. The first gap took 125 days, the second gap took 49 days, and the third gap took 22 days to max out their potential. Also, the percentage change also increase from 63 to 65 and 73 over time. So will latest gap on May 24th 2021 max out sooner than 1 month and will it go higher than +73%? We shall see if the history of SPCE breakaway gaps keep repeating themselves.
Comment:
Someone asked if all these 3 gaps are "breakaway" gaps. The answer is no. The first two are called "common gaps" because they are filled within a few days. Breakaway gaps look like the 3 gap and probably the latest gap because the price won't come back to fill the gap before hitting it's max potential. In the case of SPCE, specially, when the investors are hyped and jump the price 20% PM, it usually means it's going to the moon soon.
