Gap down is an effective sign of weakness of bulls, especially closed down that day, if you apply it to the daily chart.
It is especially useful for a straight gap up move ( at least 3 gap ups in a row) in a almost 90 degree angle ! Once the gap down appears after a gap up, especially with a close down, then a measurable retreat is coming. A real example is ETFC, please refer to the following chart.
Other technical analysis tips can be found here as well.
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