Gap (Gap Trading)

When the low of the current price bar is higher than the high of the preceding price bar or the high of the current price bar is lower than the low of the preceding price bar.

Some traders also use the term gap to refer to an opening price that is higher than the high (or lower than the low) of the preceding price bar (and “opening” gap).

Related Articles:

• How to Successfully Trade Stock Gaps
• Can Buying a Stock that Gaps Lower Give You and Edge?
• How to Take Advantage of Gap Moves in the E-minis
• How to Make Money off Opening Gap Reversals