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myfye13
1 okt 2019 15:03

$DIS gap fill Kort

Walt Disney Company (The)NYSE

Beskrivning

Head and shoulders formation confirmed on good volume. At least a 50% gap fill will occur.
Kommentarer
crytotango
Can you explain the "Fill Gap" for a Noob?
myfye13
@crytotango, Think about it as a ladder. Its safe if all the pegs are there, but take out a few and when you jump there is a greater probability of falling because you don't have the pegs. The gap for DIS is from $126 to $118 (roughly). I would say 85-90% of the time gaps fill at least 50%-100%. A 50% fill would be a drop to $122 roughly. The bears will take over because there is no volume support at levels below $126, and, going back to the ladder analogy, the bulls don't really mind the gap fill because it makes the ladder safer to climb (there is less of a chance of a major drop in the stock in the future at the gap price levels). Look at any stock and I can almost guaranty if you see a gap you will also see the stock filling that gap at some point in time.

Probably confused more than helped but let me know if that makes sense
crytotango
Much clear now. Thank you so much!
Mer