CG Gap Filling Invisible Candle
This script is used to Fill the GAP between two candles close price and next candle close price if there is GAP in the OPENING price of new candle.
This helps in identifying whether the GAP Candle is LEG candle (Big candles) or BASE candle (small accumulation candles) that can be used in marking the Demand and Supply zones based on LEG-IN, BASE and LEG-OUT candles.
LEG candles are formed by Imbalance between Buy Price (buyers) and Sell Price (sellers), that will lead to Demand and Supplies zones. This shows the aggression of institution in either BUY or SELL at certain price range.
Importance will be given to LEG-OUT candle.
If you see BIG Green LEG-OUT Candle, institutions are aggressive in BUYING (Bullish).
If it is RED LEG-OUT Candle, institutions are aggressive in SELLING (Bearish)
Bullish scenario:
LEG IN -- BASE -- LEG OUT
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Rally -- Base -- Rally
Drop -- Base -- Rally
Bearish scenario:
LEG IN -- BASE -- LEG OUT
----------------------------------
Drop -- Base -- Drop
Rally -- Base -- Drop
This helps in identifying whether the GAP Candle is LEG candle (Big candles) or BASE candle (small accumulation candles) that can be used in marking the Demand and Supply zones based on LEG-IN, BASE and LEG-OUT candles.
LEG candles are formed by Imbalance between Buy Price (buyers) and Sell Price (sellers), that will lead to Demand and Supplies zones. This shows the aggression of institution in either BUY or SELL at certain price range.
Importance will be given to LEG-OUT candle.
If you see BIG Green LEG-OUT Candle, institutions are aggressive in BUYING (Bullish).
If it is RED LEG-OUT Candle, institutions are aggressive in SELLING (Bearish)
Bullish scenario:
LEG IN -- BASE -- LEG OUT
----------------------------------
Rally -- Base -- Rally
Drop -- Base -- Rally
Bearish scenario:
LEG IN -- BASE -- LEG OUT
----------------------------------
Drop -- Base -- Drop
Rally -- Base -- Drop