Trading News Gaps: What to Do When Markets Skip You Big news releases — like NFP or rate decisions — often cause price gaps, especially over weekends or during low liquidity hours. These gaps can destroy poor entries… or become goldmines for smart traders. Here’s what to understand: A gap = imbalance. It shows price moved too fast for the market to fill orders. Most gaps get filled — either immediately or over time. The candle after the gap gives the clue: is it confirming the gap’s direction or reversing? How to trade it: Wait for the retrace to the midpoint of the gap. Use a confluence (like an OB, FVG, or EQ) in that zone. Enter with tight risk and a bias toward filling the gap. Don’t chase the gap. Let the market return to value, and then strike. Smart Money isn’t panicking on gaps — they’re hunting within them.