Gapper's Eye        Gapper's Eye Index        Daytradenet Top
 



3/5/2007 Mon
   


Trade of the Day: SNDK and KLAC

High - Low Bands: Two New Positions


Gapper's Eye utilizes our original unique stock scanner, Break Scan, and sophisticated chart software, CQG. With nominal fee, the Break Scan is available to our members.  

The Kamikaze Gap Play was introduced to the U.S. traders in the August 2005 issue of Active Trader Magazine.



 

The Nasdaq made a big gap down on the open. Watch out for a reversal !

 

 




Focus on reversal patterns because there are not that much stocks to follow, and you can have enough time to prepare. Safety is the top priority.

 

These are reversal candidates.


 



High - Low Bands Gap Play Watch

This strategy can be applied effectively by using the Swing Scan. As the name implies, this system scan stocks for swing trading. Of course, these stocks are suitable for intraday trading, too. Don't just concentrate on stocks. Be sure to follow the index.


 

Swing Scan Watch

Each figure shows the size of the gap, the order of moving averages, the new high or new low in the past five days. The trigger indicates the buying and selling pressure. We do not hold overnight positions more than five days. A long position will be closed when the stock gaps down. (Sometimes, the position is liquidated on the second gap-down.) The opposite rules applies for closing short positions.   

 

 

Watch out for a reversal especially after a big sell off. Also, be sure to check weekly charts ! If you want to short, make sure all moving averages are lined up correctly.


MAs on the weekly chart are not properly lined up.

MAs on the weekly chart are not properly lined up.

MAs on the weekly chart are not properly lined up.

This one is good.

 

MAs on the weekly chart are not properly lined up.

MAs on the weekly chart are not properly lined up.

MAs on the weekly chart are not properly lined up.

Short. The weekly chart below.

MAs on the weekly chart are not properly lined up.

Short. The weekly chart below.

MAs are not in the proper order.

 

 

No overnight positions

 

Gapper's Eye Index

Daytradenet Top


Red and blue zones show the gap of the preceding day.
The Green zone indicates the profitable zone of trading.