Market Analysis6 min read

Trading Gaps in CFDs: Weekend Risk and How to Manage It

Gaps can be profitable or devastating. Learn the types of gaps and how to manage weekend risk. Gap types, fill statistics and trading the open without guessing.

Types of Gaps

  • Breakaway gap: Starts a new trend — often profitable to trade
  • Runaway gap: Continues a trend — ride it
  • Exhaustion gap: Ends a trend — fade it

Weekend Risk

Markets close Friday and reopen Monday. If news breaks over the weekend, price can gap significantly at the open. Reduce position size before weekends or close entirely.

Related Articles

→ Position Sizing In Cfd Trading→ Stop Loss Strategies Explained→ What Is Backtesting

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70-80% of retail investor accounts lose money when trading CFDs. Backtesting does not guarantee future results. Always consider whether you can afford the potential loss of your capital.

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