Trends/Gaps and breakouts

Gap and go

A gap up on high volume where price keeps rising through the day.

Gaps and breakoutsBest on 1D, 5DAlso called gap continuation

Illustration of the gap and go shape. It is a sketch, not real price data.

What it shows

Gap and go is an intraday description. The stock opens at least 3% above yesterday's close, volume is at least 3 times normal in the first hour, and price does not fall back below the open.

It describes a morning pattern on stocks with news, such as earnings.

How we find it

The same code that draws it on your chart follows these steps, with the same result every time.

Gap at the open ≥ 3%.
First-hour volume ≥ 3× its usual.
Price does not trade below the open during the first hour.
Mark the day.

Starting values: Gap ≥ 3%; Volume ≥ 3× usual; Window first hour. These are proposed and will be tuned on real price data before launch.

How to read it

The gold zone is the gap.
Price rises after the open.
Volume bars are tall at the start.

Status labels you may see

Label	What it means
Today	Rule met so far today.
Failed	Price traded below the open.
None	No gap.

What cancels it

Cancelled if price trades below the open in the first hour.

What traders check next

News behind the gap.
Volume.
VWAP position.

Limits

Intraday only.
Most gaps fade according to some studies.
Thresholds are choices.

Try it in forecastviz

Open any ticker and choose Gaps and breakouts → Gap and go in the left menu.
Switch between 1D, 5D to see how the picture changes.
Compare with Breakaway gap and Opening range breakout on the same chart.

Open on a ticker

Questions

Is it a day trading setup?

It is used that way by some. We only describe it.

Why volume?

High volume shows many traders took part.