# What is a Gap? K-Line Technical Analysis Basics A gap (缺口) is a price discontinuity that occurs on a candlestick chart when the opening price of one period is significantly higher or lower than the closing price of the previous period, leaving a visible "gap" or blank space on the chart. ## Types of Gaps **1. Bullish Gap (Up Gap)** - Occurs when the opening price is higher than the previous closing price - Indicates upward momentum and bullish sentiment - Suggests buyers are eager to enter at higher prices **2. Bearish Gap (Down Gap)** - Occurs when the opening price is lower than the previous closing price - Indicates downward momentum and bearish sentiment - Suggests sellers are pushing prices lower at the open ## Common Gap Patterns **Common Gap** - Appears frequently during sideways trading - Generally has limited significance - Often filled quickly by subsequent price action **Breakaway Gap** - Occurs at the start of a significant price movement - Signals the beginning of a new trend - Usually accompanied by increased trading volume **Runaway Gap (Measuring Gap)** - Appears in the middle of a strong trend - Indicates the trend is accelerating - Helps measure the potential extent of the trend **Exhaustion Gap** - Occurs near the end of a strong trend - Often represents the final push before a reversal - Usually followed by a pullback or trend reversal ## Gap Trading Strategies - **Gap Fill Strategy**: Many gaps are eventually filled as prices return to fill the void - **Gap Breakout Strategy**: Trading in the direction of the gap when volume confirms the breakout - **Support/Resistance Levels**: Gaps can act as support or resistance in subsequent trading Gaps are important technical analysis tools that help traders identify momentum shifts and potential trading opportunities.