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Feb062009

The Gap Zone Map

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Friday, February 6, 2009 at 10:00AM

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If it weren't for my stumbling on the value of segmenting gaps into "zones" based upon the Open, High, Low and Close of the prior day, I am not sure that I would have survived my early days as a trader. I certainly would not have enjoyed the success that I have as a "Gapper" and been able to make a living trading the most challenging and rewarding of all daily setups: the opening gap.

To learn more about how I use gap zones as the foundation of my gap trading strategy, check out my presentation at the Las Vegas Traders Expo in 2008. In addition, you might want to read my short book called Understanding Gaps. And to track my results by zone, I use the naming convention listed here.

Here is the Gap Zone Map for the past 10 years for the S&P 500:

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