dear traders
i had few doubts on gaps (up/down). kindly help me in getting them cleared!
i had few doubts on gaps (up/down). kindly help me in getting them cleared!
- gaps are calculated on what - previous close or last traded price?
- when gaps are referred, are they referred on DAILY time frame. if not then, till what lower time frame gaps are valid/applicable? for example, if the gap has been filled on daily TF but not on intraday basis, whether it wud be counted? i mean, if the stock in intra day goes from 100 to 101 and creates a gap up and closes on 105. next day it opens at 110 but fills the gap till 105. whether this wud be a valid gap filling as it was done on the daily time frame or it has to also fill till 100?
quite confusing or only am i getting confused