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Area Gap : It will appear inside the Trading range. It may be filled in near term. The volume during the Gap day is generally low.
Breakout Gap : It appear only when price give breakout from its trading range. It may not filled in near term. The volume during the gap day should be high.
Runaway Gap : Post breakout, the runaway scenario take place, runaway gap appear inside this area. It may not be filled in near term. The close should be at its day’s high during runaway gap. The volume is distributed evenly during the day.
Exhaustion Gap : The gap appear after a trending zone seems to be a runaway gap, but if it get filled on a same day then it can be considered to be exhaustion gap.
Consolidation- The gap appears in trending range. The gap may be filled in near term. Volume is generally low.
Breakout- The gap appears outside the trending range. Gap may not be filled in near term. High volume.
Runaway- Sudden gap after breakout. Close must be day’s high. Evenly distributed volume for the day. Gap may not be filled in near term.
Exhaustion- Latest candle covers the gap with the previous candle. Indicates end of trend. High volumes.Close should be day’s low.
Area gap(consolidation): It appears inside trading range. It may be filled in near term. Volume is low or medium.
Breakout gap: It appears when price breakout from the trading range. It may not be filled in near future. Volume is high.
Runaway gap: It appears after the breakout of trading range has happened. It may not be filled in near future. Volume is average/medium.
Exhaustion gap: It appears after the breakout of trading range has happened and it gets filled in the same day (close price is day’s low price). Volume is high.
Area gap appears in trading range with no significance, low volume and expectes to be covered quickly
breakout gap appears out of the trading range when there is a breakout price with high volume
runway gap is the immediate gap after breakout indicating further strength of movement and trend continuation
exhaustion gap is identified after breakout and runway gap. It is covered quickly. It indicates the end of a trend contiuation.
Area gap/consolidation gap appears inside the trading area and here volumes are low to medium and the gap is closed either on the same day or next day of trading.
Breakout gap forms when prices jumps from the trading area and forms new highs than the previous day and here the volumes are to be high and this gap may not be filled and once such gaps happen, a long position has to be taken.
After a breakout gap when a gap forms in the trend then this gap is called runaway gap. During a bullish breakout when a runaway gap appears then it is good time to invest for long and here medium to high volume are seen and this gap usually does not get filled.
After a trend rally when a gap forms and this gap closes on the same day with indication of trend reversal, this indicates the trend has come to an end and sellers have become strong.
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