Multiple-Gap Breakouts by Ken Calhoun
This month, we present a breakout strategy for finding swing trade entries based on a series of upward gaps in an uptrend. This professional trader explains what to look for.
Finding strong swing trading breakout charts becomes easier when you find a chart with two or more price-action gaps in an existing uptrend, occurring several days apart. Since one of the strongest technical entry signals youíll find is gaps, a series of gaps up is an especially strong pattern thatís useful in locating new, long swing trading entries.
TRADING STRATEGY: 15-DAY MULTIPLE-GAP ENTRIES
Itís common for traders to miss out on an initial price gap up, finding it late, several days after a first gap up is seen...