The "Gap Filling" Strategy in Statistics (CME Gap Trading)



Logical Explanation: CME (Chicago Mercantile Exchange) Bitcoin futures are closed on weekends. If the spot market surges or drops significantly over the weekend, a "gap" will form at the Monday opening. Statistics show that about 80% of CME gaps are "filled" within the following days.

* Detailed Operations:

1. Find the gap: Check the daily chart of CME Bitcoin futures (code: BTC1!).

2. Identify deviations: On Monday opening, if there is a large gap between futures prices and spot prices.

3. Directional positioning:

* Upward gap: Enter short positions, targeting the lower edge of the gap.

* Downward gap: Enter long positions, targeting the upper edge of the gap.

4. Stop loss: Set at 1% away from the deviation in the gap's direction.

Case Analysis:

Over the weekend, BTC drops from 65,000 to 63,000. On Monday, CME opens at 63,200.

* Result: The price is highly likely to rebound within the next 48 hours back to 65,000 to fill that gap area.
$BTC
BTC3,99%
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