Gap Swing Entry

A gap swing entry uses a news-driven gap as a catalyst, then waits for the gap to hold and consolidate before entering. You're not buying the gap open — you're buying the confirmation that the gap is real and sustainable over multiple days.

Swing Gap vs Day Trade Gap — The Critical Difference

Day trade gap: Buy at 9:31 AM. The gap itself is the trade. Close same day. Ross Cameron's Gap and Go strategy.

Swing gap: Observe Day 1. Watch the gap hold. Enter on Day 2–3 when consolidation breaks higher. Hold 5–14 days for the full move. The OPERATOR approach.

The swing approach has higher probability (you've seen the gap hold) and tighter stops (the consolidation provides a defined stop level) but sacrifices the first day's move. That's an acceptable tradeoff for a part-time trader who isn't watching the open at 9:31 AM.

Scanner 3 — What Must Be True for a Gap Swing

SwingGate_GapCatalyst (v2 fixed) requires: gap 2.5–15% (over 15% is day trade only), NVTS guard clear (5-day pre-gap gain under 18%), volume 2× average on gap day, candle close in upper 55%+ of range, not from a structural breakdown, RSI 45–72 on gap day. Score 8+ AND must be on Sunday watchlist to trade.

The Three-Day Observation Protocol

1
Gap Day: Observe only. Run Scanner C. Verify news. Add to monitor list if score 8+ and it was on Sunday watchlist.
2
Day 2: Is the gap holding? Stock should be above the gap-day close. Volume should be declining from Day 1. A tight 1–2% range forming = healthy consolidation.
3
Day 3 (entry signal): If consolidation holds and the stock breaks above the Day 2 high on above-average volume = enter. Stop below the consolidation low. Typically 1–2% below entry — much tighter than a breakout entry.
Gap fills — the danger zone

If a stock gaps up 6% but then fills the gap (closes below the previous day's high) on Day 1 — the gap is weak. The bulls couldn't hold the initial excitement. This is a skip. A filled gap on Day 1 scores poorly on Scanner 3 (gapHolding = false → hard fail). Trust the scanner, don't try to "catch the bounce" on a filled gap.

"[TICKER] gapped [%]% on [specific confirmed catalyst]. Prior 5-day gain [%]% (NVTS clear). Scanner 3 score: [score]. Gap held for [X] days, consolidating in [%]% range. Entry at consolidation break $[entry], stop below consolidation low $[stop], target $[target] = [R:R]:1."
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