Posted To: MBS Commentary
The concept of "the gap" is one of the most basic when it comes to analyzing charts of financial market movement. Under the most common definition of "the gap," prices or yields jump higher or lower between one day's range and the following day's range. In other words, if the lowest yield on any given trading day is still measurably higher than the previous day's highest yield, there's a gap! The bigger the gap, the more scrutiny it will receive When gaps are created, there is usually momentum in the direction of the gap. In other words, if the 2nd day of a gap is in a higher range, then momentum is toward higher levels. From there even if yields (or prices) happen to break back through the gap, its levels would still be considered technically significant...(read more) Forward this article via email: Send a copy of this story to someone you know that may want to read it.
from Mortgage News Daily http://ift.tt/29RjEHi
No comments:
Post a Comment