Glossary/ Charts
Charts
Gap
Empty space on a chart where one period opened away from the previous close, with no trading in between.
Where this comes up
Lessons that use the term in context, which is usually more useful than the definition on its own.
- Gaps, and what fills them — Empty space on a chart, and the three kinds of it.
- What you are paying for — Intrinsic and time value, separated properly.
- Expiry day mechanics — Settlement, exercise and what actually happens at the close.
- Sizing a position properly — From capital and stop distance to quantity — the whole calculation.