@algoking.pk: Gaps aren’t just random spaces on the chart - they’re footprints left by institutions, liquidity grabs, emotional retail reactions, and powerful momentum shifts. If you’re not reading gaps correctly, you’re trading blindfolded. Let’s break down each pattern so you can spot them before the market moves. - 📌 1. REVERSAL BEARISH GAP This is a classic trap setup. Price rallies into a supply zone, then gaps DOWN with strong bearish momentum. The “OB Reversal” label means an Order Block was broken — signaling institutional selling. Don’t chase the drop; wait for retest of the gap edge or OB to enter short. 📌 2. REVERSAL BULLISH GAP Opposite of above. After a downtrend, price gaps UP aggressively from a demand zone. This often signals smart money accumulation. Look for confirmation candle closing above the gap — that’s your green light to go long. 📌 3. WEEKEND BEARISH GAP Common in crypto & forex markets over weekends when volume drops. Price opens lower after weekend close — often due to news or liquidations. These gaps frequently get filled during the week. Trade the fill, not the initial move. 📌 4. BEARISH GAP (Continuation) Not a reversal — this is pure momentum. Strong red candle gaps down, followed by more downside. No need to overthink it — ride the wave until you see exhaustion or a base forming. 📌 5. WEEKEND BULLISH GAP Same logic as Weekend Bearish but upside. Often seen after positive macro news or ETF approvals. Again, these are high-probability fills — especially if no major fundamental shift occurred. 📌 6. BULLISH GAP (Continuation) Strong green candle gaps up, continues higher. Indicates aggressive buying pressure. Enter on pullback to gap edge or previous resistance turned support. Stop loss below the gap low. 📌 7. BULLISH LIQUIDITY RUN GAP Here’s where things get spicy. Price dips slightly below a key level (liquidity grab), then rockets up through a gap. Retail gets stopped out, then FOMO kicks in. Smart money uses this to trigger stops before reversing. Wait for the fakeout to complete before entering long. 📌 8. BEARISH LIQUIDITY RUN GAP Mirror image of #7 . Price spikes ABOVE a resistance level (triggering buy stops), then crashes down via gap. Classic “fake breakout.” Always watch for wicks beyond levels — that’s your warning sign. 📌 9. GAP FILLED The most common outcome? Gaps get filled. Whether bullish or bearish, markets love to return to fill voids. Use this as a mean-reversion strategy: if a gap forms, anticipate a return to its origin unless there’s overwhelming volume supporting continuation. — 💡 PRO TIPS FOR TRADING GAPS: ✅ Always check context — Is this happening at HTF S/D? At psychological levels? During news? ✅ Volume matters — A gap on low volume = likely to be filled. High volume = potential trend start. ✅ Timeframe alignment — A daily gap carries more weight than a 5-min gap. Align your entries accordingly. ✅ Don’t fade every gap — Some gaps lead to massive trends. Wait for confirmation candles or structure breaks. ✅ Combine with order blocks, liquidity zones, and Fibonacci retracements for higher probability setups. — 🎯 WHY THIS MATTERS: Retail traders see gaps as noise. Professionals see them as opportunity maps. Institutions use gaps to engineer moves, trap weak hands, and accumulate positions quietly. When you learn to read them, you stop being prey — and become predator. — 📲 SAVE THIS POST → You’ll refer back to it again and again. 💬 COMMENT BELOW: Which gap pattern have you traded successfully? Or which one trapped you? Share your story — let’s learn together! #tradingforex #tradingbook #forextrading #forextradingtips