03/16/2020 |
TrendSpider User Guide: How to Use the Gap Snake Indicator
In this blog post, we will be taking a look at TrendSpider’s new “Gap Snake” Indicator in detail to provide information about how to use it in various parts of the platform.
Scanning With the Gap Snake
The Gap Snake indicator can be used to build entry and exit conditions just like all other TrendSpider indicators. Below is a brief outline of how to set your conditions to scan for potential popular use cases.
Gap Has Emerged
Able to be utilized either down or up this scan will identify any asset with an emerged gap in the particular direction you have set. In the example below the conditions are set to look for a gap up in price.
Gap Has Narrowed
Down or up this scan will identify any asset with a narrowing gap in the particular direction you have set. In the example below the conditions are set to look for a narrowing gap down in price.
Unfilled Gap Exists
These conditions will identify any asset with an unfilled gap in recent price action. This Scan accounts for both directions.
Gap Has Closed
These conditions will identify assets with recent closures in price gaps.
Using Gap Snake with the Strategy Tester
The Gap Snake indicator can be used to build entry and exit conditions just like all other TrendSpider indicators. Below is a brief outline of how to set your conditions to strategy test potential popular use cases.
Gap Has Emerged Entry or Exit
Using the same conditions we used above for the scan, use “Gap Emerged” as shown below as an entry or exit condition.
Gap Has Narrowed Entry or Exit
Down or up these conditions will identify any asset with a narrowing gap in the particular direction you have set. In the example below the conditions are set to look for a narrowing gap with price filling to the downside.
Gap Has Open / Close Entry or Exit
These conditions will enter a position upon an open or close of the most recent gap in price action.
Using Gap Snake with Alerts
Lastly, we will cover ways to utilize the Gap Snake indicator with different types of alerts. Alerts can be used to identify price trading within, breaking through, or bouncing a gap zone as well as more intricate alert setups like “Gap has Emerged”.
Gap Has Opened Up or Down
This can be configured by setting up a multifactor alert after choosing “Create Alert” from the home screen.
Gap Has Narrowed
In addition, traders can also set an alert for a gap narrowing using the configuration shown below.
Generic Break, Bounce, Touch
Like all other indicators, traders may set Break, Bounce, or Touch alerts on the bottom and top or the gap range.
Gap Has Closed
Use this to configure an alert for the gap closing on a particular asset.
