Gaps tend to fill, don't they?!

Today I am taking a dive outside of crypto and delving into the world of stocks.

Many people on here hate stocks, but there is room for all kinds in a well diversified investing/trading portfolio.

Plus at the end of the day a chart is a chart is a chart, which is predominately what we are looking at right now when trying to figure out if we can make some money.

The chart I'd like to look at today is one of CarGurus.

It's a small-cap tech stock that has been beaten up with the rest of the tech sector over the last several months.

Check it out:

(Source: https://stockcharts.com/h-sc/ui)

The interesting thing about this chart to me is that huge gap well above the current price.

It looks like we had a nice breakout from a consolidation period yesterday based on earnings.

The company solidly beat expectations and moved up considerably because of it.

Based on the chart setup and momentum, I would not be shocked to see CarGurus make a run at filling that gap on the chart above.

A good risk reward setup might be to buy now and set a stop just inside that consolidation zone below.

If all goes well we would see CarGurus will that gap in a matter of weeks and make a tidy profit on our investment.

Stay informed my friends.

-Doc