Finding Pre-Market Gaps Before the Crowd
A gap up occurs when a stock opens significantly higher than its previous closing price, creating a visible 'gap' on the chart. Gaps happen because of overnight news — earnings reports, FDA decisions, merger announcements, or SEC filings — that shift the stock's value before regular trading begins.
Breakaway gaps occur at the start of a new trend and often hold. Continuation gaps happen mid-trend and signal strong momentum. Exhaustion gaps appear at the end of a move and frequently fill. For SEC catalyst traders, the most profitable are breakaway gaps triggered by material filings (8-K events, insider cluster buys, activist 13D filings).
Most traders scan for gaps after the market opens — by then, the easy money is gone. Catalyst Edge scans SEC EDGAR filings overnight and scores each ticker based on filing type, insider activity, price momentum, and sector rotation signals. The daily scanner publishes results before 8 AM ET, giving subscribers a head start on gap identification.
Gap and Go: Buy the gap if volume confirms and the catalyst is strong (8-K material event, insider cluster buy). Gap Fill: Short if the gap was caused by a weak catalyst (routine filing, small insider sale) and the stock shows exhaustion at the open. Fade the Gap: Wait for the initial euphoria to fade, then enter on the pullback to the gap level.
Catalyst Edge scans 300+ SEC filings every day and publishes a ranked watchlist before market open.
Open ScannerThe most common catalysts are earnings surprises, FDA approvals, merger announcements, activist investor filings (13D), insider buying clusters (Form 4), and favorable analyst upgrades. SEC filings often contain these catalysts before they hit mainstream news.
Use an SEC filing scanner like Catalyst Edge that monitors EDGAR overnight. The scanner identifies material filings, scores them for gap potential, and publishes a watchlist before the pre-market session.
No. Studies show about 60-70% of gaps eventually fill (the stock returns to the pre-gap price). The key is distinguishing between strong catalysts (material 8-K, activist 13D) that sustain momentum and weak catalysts that produce exhaustion gaps.
You looked the term up. The console shows it firing on live tickers this morning.
Tier 1 setups touched +2% intraday 48.9% of the time across 374 tracked calls. Baseline for everything else: 40.9%. That is a +8.0 point edge, measured from the NEXT OPEN — the first price you could actually pay, not the prior close. We publish the misses too: https://catalystedgescanner.com/trust/
29 of 30 founding seats left. The price goes up when they are gone.
Become a Founding Member — $99 onceOne payment. Lifetime access. The free daily picks stay free — this is for people who want the full console. Not buying today? Get tomorrow's ranked list free →