Runaway Gap
A type of gap on a price chart that occurs during strong bull or bear movements characterized by an abrupt change in price and appearing over a range of prices. They are best decribed as gaps caused by an sudden increase/decrease in interest for a stock.
The image shows a gap in the middle of a large upward movement. Investopedia Says:
Sudden price changes are expected during strong bull and bear markets. However, most analysts view these gaps as temporary, expecting prices to converge upon the range in which the gap occurred in order to fill the missing segments. Related Terms:
Bear
Breakaway Gap
Bull
Common Gap
Exhaustion Gap
Gap
Technical Analysis |