price gap

Intraday TradingProfitable StrategySwing Trading

Easy Money In Stock Market Trading-The Opening Price Gaps Part-I

Many times these opening price gaps is easy money in stock market trading for vigilant and skilled traders.Trading Price are more or less in the control of operators of particular stock. These operators are aware of the large buy or sell orders waiting for execution. So these operator always want to keep the price in their favor. Any unexpected overnight change due to some economic, company specific or general market event can destroy the plans of their operators. So they try to catch up with the fresh supply or demand by opening the price in gap. Suppose you are trading a bull technical gap. If you have buy above open and open is lowest price then your nearest stop loss would be open price. When one trades a stock with technical gap in the direction of gap, the chances of success are quite greater. So if everything is going well, there comes the question of when to book profit.

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