gap

Gap

When the price of a stock moves very sharply up or down with no trading in between. Therefore, the chart shows a break between the prices (no line connecting).

Notes:

An example of a gap is a stock that goes from $50 to $55 with no trading occurring between these two prices.

See also: Breakaway Gap, Exhaustion Gap, Runaway Gap, Stock

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Gap

Financing that is required, but for which no provision has been made. The difference in total funding needed for a proposal and the amount of funding already made available.

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gap

A price range in which no shares are traded. A gap on a chart is created when the lowest price at which a security trades on one day is above the highest price at which the same security was traded on the previous day. Thus, if a stock trades between a low of $51 and a high of $52.50 on Monday and between $53.50 and $54 on the following day, a gap from $52.50 to $53.50 is created on a chartist's graph. A gap may have varying degrees of significance, depending on the general formation and the volume at the time the gap occurs. Also called price gap. See also breakaway gap, exhaustion gap, runaway gap.