Open/ Close of candlesticks

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Posts: 8
Joined: Wed Nov 09, 2022 3:07 pm

Open/ Close of candlesticks

Post by croftcs »

I am just running the demo version to get a feel of the software.
I notice that the close of a previous candlestick does not line up with the open of the following candlestick.
In forex, as far as i am aware, there is no gap between the two.
It does not occur all the time but is very frequent.
Is this just with the demo?
Kind Regards
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Posts: 199
Joined: Mon Feb 21, 2022 3:03 pm

Re: Open/ Close of candlesticks

Post by Admin »

No, it's not related to demo version because gaps are a regular thing, even on Forex market.
Gaps occur when there is a liquidity decrease. It can happen during the week-end, when the markets are almost closed, during big news event, when the majority of people avoid to trade, or during special events (ie: flash crack). You will find gaps on exotic Forex pairs as well.

There are even trading strategies relying on profiting from the gaps .
So this is something common and depends on the brokers and their liquidity providers.
For example, you can check the Forex Monday, you're likely to find gaps on some pairs.
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