Gap Fill. GF. One of a few things we can rely on in the market. But what, what causes gap fills? Myriads of buy orders placed at close gap levels drawing the algos to those levels? Seriously – what is the black and white, technical happening that creates gap fill? I have asked this same question more than once on other market blogs and always get meandering non-answers. Must be the algos. In which case how did GF exist prior to algos…? TIA
Seems to me the gaps are created by overnight futures trading, maybe the “invisible hand” takes it up or down through support/resistance that….. Since the cash market doesn’t get a chance to trade it and because there was no real chance at buying or selling in the gap and since the gaps are usually at strong support or resistance they are nearly always revisited…..
DOW is on thin ice here and bulls need to scam it UP and at the minimum close above the 200 day MA…
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Gap Fill. GF. One of a few things we can rely on in the market. But what, what causes gap fills? Myriads of buy orders placed at close gap levels drawing the algos to those levels? Seriously – what is the black and white, technical happening that creates gap fill? I have asked this same question more than once on other market blogs and always get meandering non-answers. Must be the algos. In which case how did GF exist prior to algos…? TIA
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Seems to me the gaps are created by overnight futures trading, maybe the “invisible hand” takes it up or down through support/resistance that….. Since the cash market doesn’t get a chance to trade it and because there was no real chance at buying or selling in the gap and since the gaps are usually at strong support or resistance they are nearly always revisited…..
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