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Gap and Go Strategy — How I Trade Morning Gaps

r/DaytradingstocksIntraday (first 30 minutes)by reddit_community

Gap and Go on 5%+ gaps with news catalysts. Enter on first 5-min green candle above pre-market high. Volume 10x+. A+ gap selectivity is key.

ENTRY RULES

Stock gapping 5%+ on specific news catalyst | Pre-market volume at least 10x average | First 5-minute candle after open is green | Enter on break above first candle high (or pre-market high) | Confirm with Level 2 showing buyers absorbing sellers

EXIT RULES

First target at next whole dollar resistance | Stop loss at low of first 5-minute candle | Trail using 5-min 9 EMA | Take half off at 1:1 risk-reward | Close entirely if stock makes new low of day

INDICATORS

GapVolumePre-Market HighLevel 29 EMA

ORIGINAL POST

312
r/Daytradingposted by reddit_community

Gap and Go Strategy — How I Trade Morning Gaps

Gap and Go: find stocks gapping up 5%+ in pre-market on news (earnings, FDA, contract). Wait for first 5-minute candle to form after open. If first candle is green and breaks pre-market high, enter. If first candle is red, wait for price to reclaim the open price. Volume must be 10x average. These gaps fill sometimes but the best ones just keep running. Key is selectivity — only trade the A+ gaps.

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Gap and Go Strategy — How I Trade Morning Gaps | iGotFomo Strategies