The Gap Trade Will Be Profitable Today

This is Why The Gap Trade on January 30th Will Close

The gap trade is highly reliable – well, let’s call it usually reliable, because it is a profitable trade about 70-75% of the time. But today, Jan 30th, something happened pre-market that is reason to believe that today’s gap will close with 99% assurance.

Gap trading in day trading refers to the practice of taking advantage of price gaps that occur between two trading days due to news events, earnings releases, or other market-moving events. This involves identifying days when the S&P futures market experiences a gap in price at the open of the regular trading session and then executing a trade based on the expectation that the gap will be filled, either through price movement in the same direction as the gap or through a correction back to the pre-gap price level.

Gap trades offer day traders a better-than-even chance of being profitable, as gaps close about 70% of the time. However, gap  trading offers no guarantee that the gap will be filled, and the price may continue to move in the same direction as the gap, resulting in a loss for the trader.

S&P emini futures day traders need as much information as possible to make better trading decisions. Market prices move erratically, but the Taylor Trading Zone is based on calculations developed by George Taylor 75 years ago. 

Almost all professional traders use the Taylor Trading Technique every day to help them make profitable trades – because the trading zone has proven to be the next best thing to having a crystal ball. Click the banner below to get a FREE one-week trial.

Having as much information as possible gives S&P emini day traders a big advantage over “seat of the pants” traders. It cannot be stressed enough that without learning as much as possible about the market, it is highly unlikely that a trader will succeed at making money by day trading S&P emini futures, much less in a trading career.

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