Gaps on the M1 chart: when the open is not the previous close
Posted: Sat Oct 31, 2026 7:41 pm
On a one-minute chart, the open of a candle usually matches the close of the previous one. Sometimes it doesn't, and the gap tells something about the market.
Small gaps appear when price jumps between ticks. They are more frequent during low liquidity, around news, and at session opens. A gap of a pip or two on a liquid pair means quotes moved without trades in between.
For scalpers, gaps matter in a few ways. Stops can fill beyond their level, since the price skipped the stop. Entries on breakouts may fill far from the planned level. And indicators that rely on the close of the last candle may produce odd signals.
Counting gaps is a quick way to judge how the market is behaving. A string of gaps suggests thin, jumpy conditions where tight stops are fragile.
Some traders use a gap count as a filter, avoiding trading when it exceeds a set number in a rolling window.
Anyone tracking gaps as a market quality measure?
Small gaps appear when price jumps between ticks. They are more frequent during low liquidity, around news, and at session opens. A gap of a pip or two on a liquid pair means quotes moved without trades in between.
For scalpers, gaps matter in a few ways. Stops can fill beyond their level, since the price skipped the stop. Entries on breakouts may fill far from the planned level. And indicators that rely on the close of the last candle may produce odd signals.
Counting gaps is a quick way to judge how the market is behaving. A string of gaps suggests thin, jumpy conditions where tight stops are fragile.
Some traders use a gap count as a filter, avoiding trading when it exceeds a set number in a rolling window.
Anyone tracking gaps as a market quality measure?