Oliver Kell: Gappers

Buys from Oliver Kell’s gap screen: shares that opened more than 3 percent above the prior day’s close today, with a price above 20 dollars and more than 500,000 shares traded on an average day over the last 50 trading days. That leaves only the liquid part of all upward gaps: in large, heavily traded names a jump like this happens almost only on real news — quarterly figures, new guidance or an analyst upgrade. Only shares our own deep-dive analysis rates green are bought — yellow or no analysis at all is not enough. The check and any new purchase happen every trading day; a position is sold as soon as the price falls 15 percent below its highest level since purchase, the share drops off the list, or it is no longer rated green. If the list holds no green-rated share, the portfolio stays in cash.

This portfolio buys shares.