Gaps, Statistics, and Candlesticks: $3,000 to 1 Million via Trading Options

What's the current account value? :cool:

$5880.

But because I'm starting a new options-trading newsletter, I'm not going to be updating this thread anymore (conflict of interest).

However, if you have any questions about trading price gaps, please ask them here. Basically, gap-trading is a three-step process:

1. Find a gap.
2. Determine the gap type (Area/dividend/exhaustion/amateur: gap will fill; breakaway/continuation/pro: gap will widen)
3. Confirm 2-5 days after the gap, using candlestick patterns, that the stock will indeed go in the direction that the gap implies.

That's the safest form of gap-trading.

The type of gap-trading I used in this thread integrated this type of gap trading with some other strategies, such as sideways strategies that take advantage of increased implied volatility after a gap, which in turn increases the price of options, thereby allowing us to get more profit from writing calls or puts.
 
Top