Gap and Crap Trading Patterns | How To Trade Gap and Crap In Stock Market

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Have you ever heard called gap and crap trading patterns and buy the rumor sell the news? If you're a beginner and searching the way to learn how to trade gap and crap in the stock from the top performing in the penny stocks market then this video for you to understand what is gap and crap stock trading patterns.

A gap in a chart can create an uptrend or a downtrend. A gap up in a chart can mean that there was good news overnight. A gap down can be a sign of bad news.
A gap and crap generally focus on good news. The stock gaps up but then craps out. This usually happens when a company jumps the gun on announcing the good news traders are prepared for the opportunity.

This leads me to the next phrase to buy the rumor, sell the news. This is where you know about an upcoming catalyst or news event, and you buy the stock in anticipation of it.

The big caveat here: Steer clear of trying to predict earnings. There are just too many unknowns, like what will happen before a company reports, how the company will announce earnings, and how people will react.

That’s three variables it’s not just whether the earnings report is good or bad. Once you understand that there are multiple unpredictable variables, you know your time is better spent elsewhere.

Do you trade gap and crap patterns? How about buy the rumor sell the news patterns? Drop a comment below. I love to hear from you!

Thank you for watching this video. I hope that it helps you. I want to share everything that I've learned over the years. You can check out more videos right over there and don't forget to subscribe to my channel for more update and new videos that will help you to trade penny stocks.

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