Markets move in four distinct phases, over and over again….the average Retail investor is usually -chasing- the market to catch up to these phases, instead of proactively anticipating them. Learn them and enlighten yourself.
Do all gaps get filled eventually? Well, the majority of them probably are but we’ll have to watch and see how the Market handles the huge gap that was created on Wednesday of this week.
There are only a few indicators that I find useful to augment my study of price action; a vol-sensitive indicator like the Bollinger Bands are still proving useful in today’s market.
Most traders have been surprised by the Market’s reaction to recent events, but we’ve seen this movie before and were able to take advantage of the -fear- by taking one of our swing trades on a mechanical signal on Monday.