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Gapdown

Gap Trading Combined With Supply & Demand ZonesWhat Are Gaps? Gaps are nothing but Price of a Stock moving up and down sharply with no or little trading happening between the previous days close and current days open. Gaps show an ultimate picture of imbalance between supply & demand. Gap formations are due to many fundamental and technical reasons. Most common example, when there is an announcement of company earnings. Gap Up or Gap Down is imminent the next trading day due to positive or negative news. A trader can profit from gaps provided he/she can identify the type of gap and its location with perspective to Institutional Supply & Demand Zones. Gap Trading Strategy using Supply and Demand Zones A lot of traders are fearful of Gaps and see it as a threat & aren’t comfortable carrying positions overnight. However, for a professional Supply Demand Trader, these Gaps aren’t threats on the contrary they provide high probability trading opportunities, when combined with Supply & Demand Zones. Four Gap Structures That We Look At: 1. Inside Gaps 2. Outside gaps 3. Novice Gaps 4. Professional Gaps 1.How to Identify & Trade Inside Gaps? Inside gaps are created when Price Opens between the prior Day’s High and low. Often these gaps fill quickly on the same day. Inside gaps can be mainly used for quick intraday trades, provided they happen at strong supply & demand zones. Gap Up into a strong Supply Zone provides a good short opportunity, whereas Gap Down into a strong Demand Zone presents a good long opportunity. Let’s see an example: 2.How to Identify & Trade Outside Gaps? Outside gaps are created when Price opens beyond the Prior days High and low. These gaps generally do not fill on the same day. They indicate the establishment of a new Trend or the continuation of the existing one. One must wait for quality Supply & Demand Zones to form after the gap and wait for a pullback to join the new move. Let’s see an example: 3.How to Identify & Trade Novice Gaps? When price gaps in the same direction of the current trend, then it is called a Novice Gap. Novice gaps as the name suggests are created by novice trader emotions and are excellent opportunities to find high probability trade setups. Gap Up or Gap Down after extended moves into quality areas of Supply & Demand, offer us high probability Short & Long opportunities respectively. Let’s see an example: 4.How to Identify & Trade Professional Gaps? When price gaps up in the Opposite direction of the current trend, it is called a Professional Gap or a Pro gap. Pro gaps represent a significant imbalance between Supply & Demand. Pro Gaps generally occur after extended moves in one direction, taking the amateur traders completely by surprise. They generally bring about trend change. Pro Gap Down & Pro Gap Up form high probability Supply & Demand Zones. Pull back to these zones provide us with opportunities to enter at trend change points. Let us see with an example:
NSE:CUBEducation
by MAKTradingSchool
16
Banknifty 1.global sentiment Slightly negative 2. war was not end month end expiry (Chart shows a lower lows) 1.IF Tomorrow gap up 5 min or 15 min candle if break the resistance 33426.. if we can see the price action for buying side and exit at the target price 34339 2.If Open in flat wait for the trend up side or downside Or it may have side ways then take the trade 3.if gap down wait For close the 5 min or 15 min candle the crossed 33180 buy and wait for the target Weekly high and low should be mark Total Oi base call side 12,97,719 compare to put side 10,72,171 OI **(monday So call atm to 500 points itm contracts 91,641 oi Put atm to 500 points itm contracts 1,01,626 oi put options purchased itm 34000 strike price 41,036 oi **(tuesday So call atm to 500 points itm contracts 1,07,860 oi Put atm to 500 points itm contracts 1,27,904 oi call options purchased itm 33500strike price 56,607 oi **(wednesday Total Oi base call side 14,13,972 compare to put side 10,18,705OI So call atm to 500 points itm contracts 1,01,806 oi Put atm to 500 points itm contracts 1,26,044 oi options added atm 33300strike price 45,500 Note . this just prediction. market can happen anything
NSE:BANKNIFTY
by tarunkumar1996
Nifty 50global sentiment Are Negative 2. war was not end Expiry day possible for side ways up side break 15862 , downside 15616.50 Observe the trend lines (16000)Fib 50 % reversal level for down side (Chart shows halt and flag pattern ) 1.IF Tomorrow gap up 15 min candle if break the resistance 15856.45 .. if we can see the price action for buying side and exit at the target price no Trail as per your rules 2.If Open in flat wait for the trend up side or downside Or it may have side ways then take the trade 3.if gap down wait For close the 5 min or 15 min candle the crossed 15714 buy and target price no Trail as per your rules 15624 Weekly high and low should be mark **(Monday Total Oi base call side 18,46,959 compare to put side 18,11,594 OI So call atm to 500 points itm contracts 1,60,749 oi Put atm to 500 points itm contracts 1,18,821 oi)** put options purchased itm 16000 strike price 53844 oi **(tuesday Total Oi base call side 20,75,492 compare to put side 18,83,476 OI So call atm to 500 points itm contracts 2,39,718 oi Put atm to 500 points itm contracts 1,09,929 oi put options purchased itm 15800 strike price added 34620 oi every 50 points straddles are created **(Wednesday Total Oi base call side 20,17,953 compare to put side 20,13,419 OI So call atm to 500 points itm contracts 2,26,111 oi Put atm to 500 points itm contracts 2,07,464 oi ce fresh oi added contracts 15453 . ce options purchased itm 15700 strike price added 53,782 oi every 50 points straddles are created Option chain shows neutral same call and puts oi Note . this just prediction. market can happen anything
NSE:NIFTYShort
by tarunkumar1996
An interesting week of short covering.A week to remember the huge gap down and recovery. Tomorrow's expiry is going to influence multiple news. Let's see where the nifty is going to expire tomorrow. key levels to watch out for above the 200EMA and 16750 as the first levels to keep an eye on. down side 16150 and 16000. It was a week to remember because I had been carrying a position Friday. I sold 17200CE and 14900PE at a good premium. Then on Monday, the roller coaster ride began with a huge gap down. I was rolling my CE to 16800 and book profit. Yesterday, I rolled again to 16600CE, PE side. I kept holding on and nifty started moving up. It was a nice move. PE started green. I have a16600 CE side, but it looks like a good position. such a sharp move today the CE shoot up i keep roiling my PE to 15250PE and 15000PE. book profit, but such a sharp move 16600 eat all the profit now at no profit and no loss state. Currently, I have 16600CE and 15700PE. I will have to firefight to adjust the position. Let's see how it ends this week. I am planning to exit the CE only after crossing 15550. I will keep rolling my PE side to 16100 and 16150. Let's see how it is going to end this week. If such an out of the world premium spikes, then I will exit my position with minimal loss.
NSE:NIFTY
by Manuadarsh
SOLARA ACTIVE PHARSOLARA ACTIVE PHAR was failed to take support from the levels of 913.55 and was a gap down on the next day on 10th Feb 2022. Now understand that, whenever the gap up or gap down occurs, the market always tries to fill it, as it is an empty space. Now Solara was a gap down and after that, Solara takes the support on 606.80 and now rushed up to the 769. Can go to the 900 levels to fill the empty space. This is a Tutorial Chart, but anyone can have a trade if they want to enjoy the rally. Trade on your own risk management and trade management tool As the market is showing no clear direction, be cautious for not just this trade, but with every trade. If you are in profits, please maintain your Trailing Stop Loss.
NSE:SOLARALong
by yashdoshi209
Mentorship InstaView 20 Aug’21: 16,500 Holds the Key
Nifty View: Knee jerk reaction from the benchmark Nifty index towards the end of last week’s session. A sharp gap down on Friday’s trade leads to an almost reversal of the short term trend of the index which is now stuck between two important levels. On the upside, 16,500 will act as an important level for the index which it needs to scale above and sustain. As long as this is not achieved, the possibility of selling pressure will persist. On the downside, (16,200-16,350) acts as the short term support, the upper border of which was tested on Friday’s session. Thank you for following my work and please feel free to share your thoughts and suggestions.         Trade Well. Trade Wise. 
NSE:NIFTY1!
by Abhijit_Paul
Nifty Trade Setup For Monday (24th July)So after touch the level of 15900, Nifty reverse from the level. . Now Nifty is getting support from 15800, so for tomorrow there is two condition.. . 1. If Nifty break the resistance of 15900, then we should buy CE for the level 159450. 2. If Nifty break the 15800 support them we should go for PE. . In gap up opening we should avoid trading in the morning time. In gap down Opening, we will wait for CE once it cross 15760 or 15800. . What's your view on this comment below in the box.
NSE:NIFTY
by neerajlalwani081