Opening gaps: NWOG & NDOG

The gap between Friday's close and Sunday's open, and its daily cousin.

The new week opening gap (NWOG) is the range between Friday's 17:00 close and Sunday's 18:00 open on index futures; the new day opening gap (NDOG) is the same idea between 17:00 and 18:00 each day. ICT treats these gaps as reference levels price often returns to, especially their midpoint.

Illustration drawn by Propbook, not a real chart.

How to spot it

1
After Sunday's open, mark Friday's close and the opening price: the range between them is the NWOG.
2
Mark its midpoint, the consequent encroachment.
3
Through the week, watch how price reacts when it trades back into the gap, and use it as a target or a reaction zone.

On a prop firm account

Gaps are reference levels, not entries on their own. Combine them with a killzone and a fair value gap so that your stop placement stays tight enough for the account's drawdown.

Position size

Watch ICT explain it

Your notes

Videos load from youtube-nocookie.com only when you press play. © Inner Circle Trader

Related concepts

Killzones & macros

The hours when the algorithm moves price, in New York time.

Fair value gap (FVG)

Three candles, one gap: the imbalance price comes back to fill.

Daily bias

Decide where price is going today before you look for an entry.

All videos are by Michael J. Huddleston, the Inner Circle Trader, and play from his YouTube channel. Propbook is not affiliated with ICT; this is an independent index.