Maple Leaf Green World Inc. (TSXV:MGW)
heard the stat (90% of gaps are filled) and though I haven’t done my own back testing to prove it, I will say from an observation standpoint that the vast majority of gaps are filled at some point. After that sell off, we saw an “inverse head and shoulders” pattern start to take shape which was confirmed within the last few days when we saw volume come into the stock and our previous “gap” was then filled.
Now, since I think that weekly charts are more useful than any other timeframe I will show you Maple Leaf Green World’s here:
As we can see, this chart has a lot of similarities to the weekly chart that I posted of Lexaria’s earlier. With no news to explain a “fundamental” reason as to why the stock is so far up 30% this week I think it’s worth keeping on my watch list for the time being. Having said that, it is hardly my trading style to buy into something that is already up so much in the past week. I would be inclined to look for a dip or after a period of sideways trading to enter the name.
161