I am a noob with this, but thanks to AI I am generating things (well, the ai is) that before I could only imagine. This is my tradingview chart with the ai generated Gaps indicators. The background indicate gap clusters. The indicator below prints the actual daily gaps in points, the blue lines are at about +o- 20pt range. Useful for me, as I do trade the occasional overnight narrow wings butterfly (overnight play). Can't publish them as I don't have a TW premium account but I am willing to share the pinescripts if anyone is interested.
Hello cesfx, You need this back test and see what the profit factor is. Does daily gaps means nothing. Only a back test report means something.
Hi SimpleMeLike, This is not a strategy in itself, trade the gap, but just me playing to obtain a visual glance of some data over time. Backtest would be too complex for me. Risk/reward is not always fixed, mostly partial. I would also have to exclude weekends (that should be easy...) and major news events (not easy). This glance at a chart can help me decide if to favour movement or lack of it based on historical. Then I would look at implied volatility Vs historical and see if it matches. From there I'd pick a strategy and a timeframe.