The exhaustion gap: Currency Analysis

When it comes to the subject of currency analysis, there's also this one to consider - the exhaustion gap.

Now this one refers to a very bad thing for a currency, possibly, which is the reversal in the market (unless it was going down in which case it could be good news!)

This is quite useful to know, clearly, for those who day to day trade in the particularly currency market, however, the bad news about this sort of gap is that it often only shows up after the horse has bolted.

And so those are the four major gaps that occur in the financial analysis of markets using gap analysis, don't worry if they don't make a lot of sense, the point is to understand why they are measured and why they might be useful for people; there is lots more useful information out there on this site and on the internet as well for those who are looking for more information on gap analysis.

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