Discussion of article "Gap - a profitable strategy or 50/50?"
You are missing trading opportunities:
- Free trading apps
- Over 8,000 signals for copying
- Economic news for exploring financial markets
Registration
Log in
You agree to website policy and terms of use
If you do not have an account, please register
New article Gap - a profitable strategy or 50/50? has been published:
The article dwells on gaps — significant differences between a close price of a previous timeframe and an open price of the next one, as well as on forecasting a daily bar direction. Applying the GetOpenFileName function by the system DLL is considered as well.
Here we will deal with checking D1 gaps on stock markets. How often does the market continue to move in the direction of a gap? Does the market reverse after a gap? I will try to answer these questions in the article, while custom CGraphic graphs will be used to visualize the results. Symbol files are selected using the system GetOpenFileName DLL function.
Fig. 6. Getting gap statistics CGraphic.mq5 script operation result
When analyzing several securities markets, I saw that after a gap, the probabilities of a continued movement and a reversal are close to 50%, which means trying to catch a gap has the 50/50 success rate. At the same time, there are securities with the probabilities (of both continuation and reversal) considerably higher than 65%. These securities can be used to trade gaps.
Author: Vladimir Karputov