gap down

When price opens and stays below the last candle's lowest price, leaving an empty space on the chart.

The fuller meaning

A gap in which a candle's high stays below the previous candle's low. It often follows bad news released while the market was closed; stops below the prior close can fill far worse than planned, which is gap risk.

gap down.

Related words

above-average volume · bounce · break of structure · breakaway gap · breakdown · breakout · broken level · channel · choppy market · common gap