EUR/GBP Gap: When is a Gap Filled?

January 17, 2017

Fast forward a few weeks from the last time we spoke about EUR/GBP pulling back to support and price has exploded off the level in question!

EUR/GBP Daily:
170117_eurgbp_daily
Click on chart to see a larger view.

An obvious level that was cleanly respected and gave us multiple chances to get long.

Back to the present and the weekend saw EUR/GBP gap higher yet again.

EUR/GBP Hourly:
170117_eurgbp_hourly
Click on chart to see a larger view.

The magnetic effect of the gap getting closed has continued to pull at price since Monday morning, but this is where I wanted to highlight what actually constitutes a gap fill.

Technically it is the bottom line, because that is where we closed Friday night. But that doesn’t make this other swing high any less significant when it comes to moving price.

Different traders place different weights on the significance of each part of the gap fill and I’d love to hear your opinion on the subject by mentioning @VantageFX on Twitter.

Do you see opportunity trading EUR/GBP? Trade forex with the best Australian forex broker, Vantage FX.

Dane Williams – @VantageFX

Risk Disclosure: In addition to the website disclaimer below, the material on this page prepared by Forex broker Vantage FX Pty Ltd does not contain a record of our prices or solicitation to trade. All opinions, forex news, research, tools, prices or other information is provided as general market commentary and marketing communication – not as investment advice. Consequently, any person acting on it does so entirely at their own risk. The expert writers express their personal opinions and will not assume any responsibility whatsoever for the Forex account of the reader. We always aim for maximum accuracy and timeliness, and FX broker Vantage FX shall not be liable for any loss or damage, consequential or otherwise, which may arise from the use or reliance on this service and its content, inaccurate information or typos. No representation is being made that any results discussed within the report will be achieved, and past performance is not indicative of future performance.

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