SNAPCHAT $SNAP Gap Down / Gap Edge Trading
Whenever you see a stock gap below the entire price of the stock it's bearish. Why? Because everyone who ever owned the stock is sitting in a negative position. I typically don't trade the open and as you know I like to trade off the 30 min chart. I saw a perfect setup on SNAP on the 30 min chart and I placed my order and once it hit the trigger there was massive volume at that price. It felt good. I let it trade away and it formed an area where I could place a second trade to the one I already had running. This trade would be treated with a tighter stock and had it's own risk. It traded nicely into my target and it was a great trading day.