Our Group: CySEC CIMA FSA

Gap-down


A gap-down takes place when an asset’s price drops rapidly in value, causing a gap between the next candle and the previous one.

This is most noticeable in markets that are not open around the clock. For example, if bearish news is announced over the weekend when most markets are closed, an asset affected by this news can gap down on Monday in relation to its closing price on Friday Evening.

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