Today’s breakaway gap to the downside will more than likely be the talk of the town as the week progresses. If you remember, the first trading day of 2013 the SP500 gapped up 1.89% and never looked back, that gap is still unfilled. Many might assume that today’s breakaway gap down might have the same effect as the 2013 gap up, but obviously in the opposite direction. Regardless if that is the case or not, I believe that today’s gap will be very significant going forward and will more than likely act as stiff resistance in the days and weeks to come.
A Gap Down With Huge Consequences