3SOF

For daytraders only...quick setups.  I am gonna scan for gaps to fade in the morning (9:30am - 10:00am)

Fading the gap:  Stocks that gap in the morning often come back to their close price.

I am just testing this out...used to do it a lot.  Need a refresher.

Hay Elite G , What scan do you use for that?  Tony

I find gaps using Realtick or just in yahoo.  Many sights show the morning gaps.

then a quick visual on the chart... today I'll just post the intraday fades that worked... something to study 

I see thanks.

     I have something that ive been kinda looking at for like the last two or 3 years. It started with Enron, and Adelphia Cable. Both of these companies and many others that i have looked at in the last few years, they went bankrupt, then their stock hit the street, i think i remember adelphia being at like .0005 . But the point they all seem to drift back up , of course not to original status. But taking a minor investment of 200 dollars on adelphia , you whould have had 400000 shares, the the stock went to at least .30 , and higher. Well thats quite a pinch for a meager investment . Wht ya tink?  I did the same thing with enron, only went to .10 before i sold though.   Tony

I think the idea is good.  How much time did it take to go up?

Elite-
Once again, you are spot on in your ideas. As I'm sure you are well aware, there are ALOT of guys who make an absolutely great living just fading gaps, not to mention fading the open.
The Irishman

thanks Irishman,

Definately aware of it 
I'll post some gaps that were good to fade by end of day or over the weekend..we can all study up...and get ready for next week

I remember it being ,,, 6 months to a year. Not good for the adhd. But for a let me alone and see what happens it seems to go pretty good. The trick seems to be to wait for the turn around off bottom. Winn dixi did something similer a little while ago, went down to .60 then in a month or so to 1.20 , and now i think drifting to a 1.00.

too long to wait for me...but point one out if you see one

this is a perfect fade..

**note: the stop would be @ high of day up to that point...that is an amazing reward to risk ratio

entry: 27.83
stop loss: 27.93
target: 27.45

(for shorting)
reward = entry - target = 0.48
risk =  stop - entry = 0.10
reward to risk ratio = reward/risk = 0.48/0.10 = 4.8 = awesome!

THE FADE of the day!...a little something special here  Evil Wink

(for shorting)
entry: 37.95
stop loss: 38.18
target: 37.06

reward = entry - target = 1.34
risk =  stop - entry = 0.23
reward to risk ratio = reward/risk = 1.34/0.23 = 5.82 = wow!

no setups today for gap fades as the market did not gap strongly itself...tomorrow hopefully

I was managing my positions and did not pull the trigger on this.  It a great Fade even if it goes no further.

I will try to post something here today.  Anybody else have any gap fades?

Tho, I haven't traded the Gap fade before. I am intrigued and compliment you on your work.

Do you look for opening gaps via INET ? ........if not pre-opening screens what criteria do you use to watch for interday gaps, if any?

I generally day trade and try to not have any dayend carry over.
Those I have been trading for the last few weeks are IIJI, ABLE, GEOI
Started ROYL this week and back into FORD.

Thanks for sharing.