Earnings Gap-Up & Acceleration Screener Pro [LevelUp]
Earnings drive institutional accumulation. Scan for gap-ups and accelerating earnings and sales with this customizable Pine Screener, designed to surface stocks with the highest potential for sustained price moves.
🔹 Earnings Gap-Up
An earnings gap-up refers to a significant price gap up after an earnings report, reflecting a rapid shift in investor sentiment and perceived value. Ideally, the move is sharp, sustained, and accompanied by high trading volume, signaling a potential trend continuation or reversal.
A gap is the difference between the closing price of a stock on the day before an earnings report and the opening price the next trading day. An earnings gap-up typically exceeds a defined threshold (e.g., 8-10%) and is driven by earnings surprises, guidance changes, or other significant news.
Strong earnings beats, misses, or forward-looking guidance can trigger these gaps. For example, a company reporting higher-than-expected profits or raising guidance might gap-up, while a miss or weak outlook could cause a gap-down.
The gap-up is often accompanied by above-average trading volume, confirming the move's strength. Earnings gap-ups often lead to sustained price movement in the direction of the gap (continuation) or signal a reversal if the gap fills quickly.
🔹 Earnings Gap-Ups: Why They Matter to Traders
▪ Earnings gap-ups often indicate strong momentum. Traders can capitalize on this by entering trades in the direction of the gap (e.g., buying on a gap-up if momentum continues).
Example: If a stock gaps-up 10% after a stellar earnings report and shows high volume, traders might buy, expecting further upside as momentum builds.
▪ Breakout Opportunities: A gap-up through key technical levels (e.g., resistance or support) can signal a breakout. Traders use these gap-ups to identify potential long-term trends.
Example: A stock breaking above a resistance level on an earnings gap-up may continue to rally, offering a setup for swing or position traders.
▪ Volatility for Short-Term Trades: Earnings gap-ups create heightened volatility, ideal for day traders or scalpers. The large price swings can allow for quick profits when timed correctly.
Example: A trader might use options (e.g., calls for a gap-up, puts for a gap-down) to leverage the volatility around earnings.
▪ Confirmation of Fundamental Strength/Weakness: An earnings gap-up often reflects a fundamental shift, e.g., strong earnings growth or a major business development. Traders can use this to align technical setups with fundamental catalysts.
Example: A gap-up after a company raises its full-year guidance might signal a long-term buying opportunity.
▪ Risk Management and Stop Losses: Gap-ups provide clear levels for setting stop-loss orders. For instance, traders might place stops at or below the gap-up bar low to protect against a potential reversal.
Example: If a stock gaps-up from $100 to $110 and intraday hits a low of $105, a trader might set a stop at $105 or lower to limit downside risk.
▪ Gap Fill Strategies: Some traders anticipate gaps filling, meaning the stock returns to its pre-gap price. If an earnings gap-up seems overextended (e.g., due to market overreaction), contrarian traders might short a gap-up, anticipating a pullback.
Example: A stock gaps up 15% but lacks volume or follow-through; a trader might short it, expecting the price to retreat.
🔹 Earnings & Sales Acceleration
Earnings and sales acceleration refers to the increasing rate of growth in a company's earnings and revenue over consecutive quarters. It highlights companies that are not only growing but doing so at an accelerating pace, signaling improving financial health and operational momentum. This metric is derived from earnings reports, which detail a company's financial performance.
Key Concepts
▪ Earnings Acceleration: When a company's earnings per share (EPS) growth rate increases over time (e.g., EPS growth of 10% in Q1, 15% in Q2, 20% in Q3). It indicates improving profitability, often due to cost efficiencies, margin expansion, and strong demand.
▪ Sales Acceleration: When revenue growth rates increase over time (e.g., revenue growth of 5% in Q1, 8% in Q2, 12% in Q3). This reflects rising demand for products/services and operational efficiency.
▪ Relation to Earnings Reports: Acceleration is calculated by comparing sequential quarter-over-year growth rates in earnings and sales, often highlighted in earnings reports or analyst commentary. It signals fundamental strength when both metrics accelerate simultaneously.
🔹 Earnings & Sales Acceleration: Why It Matters to Traders
▪ Identify High-Potential Stocks: Stocks with accelerating earnings and sales often attract investor attention, as they signal that a company is outperforming expectations and gaining market share. This can lead to sustained price appreciation.
Example: A tech company reporting 20% EPS growth and 15% sales growth quarter-over-quarter may see bullish price action as investors bet on continued momentum.
▪ Momentum Trading Opportunities: Acceleration often fuels stock price momentum, especially post-earnings. Traders can ride these trends using technical setups like breakouts or pullbacks.
Example: A stock breaking above a key resistance level after reporting accelerating growth may be a buy signal for swing traders.
▪ Early Indicator of Breakouts: Companies with accelerating fundamentals are more likely to experience price breakouts, as institutional investors (e.g., hedge funds, mutual funds) pile in. Traders can use this to position early.
Example: A retailer with accelerating sales due to strong holiday demand might gap-up post-earnings, offering a breakout trade.
▪ Confirmation of Fundamental Strength: Acceleration validates a company's growth story, reducing the risk of investing in stocks with inconsistent performance. Traders can align technical trades with strong fundamentals.
Example: A biotech with accelerating sales from a new drug launch may sustain a rally, giving traders confidence in long positions.
▪ Volatility for Short-Term Trades: Earnings reports showing acceleration often lead to significant price gaps or volatility, creating opportunities for day traders or options traders.
Example: A trader might buy call options on a stock expected to report accelerating earnings, anticipating a sharp post-earnings move.
🔹 Earnings Gap-Up - Examples
🔹 Screening Features - Setting Your Search Criteria
Earnings Gap-Up
▪ Search Range
How many bars back to search for earnings gap-ups, anywhere between 1 and 90 bars.
▪ Last Bar Only
Look only at the last bar for an earnings gap-up. This is useful when screening at the end of a trading day for the most recent price action. When this option is selected, the Search Range setting will be ignored.
▪ Minimum Price % Gap Up From Prior Close
The minimum price gap percentage required to qualify as an earnings gap-up.
▪ Minimum Volume % Change Over Average
The minimum volume increase, relative to the 50-day average, required to confirm an earnings gap-up.
▪ Require Positive Surprise
When enabled, the screener will only return results where the company reported earnings that exceeded analyst estimates. The minimum surprise percentage can be configured to filter out marginal beats and focus on meaningful outperformance.
▪ Require Closing Range
Specify a minimum closing range (as a percentage of the bar's daily range) to confirm the stock closed near its highs.
▪ Gap-Up Bar Requirement
The gap-up bar can be configured to require one of the following:
- Open Above Prior High - The bar opens above the prior bar's high, ensuring a clean, visible gap with no price overlap between sessions.
- Low Above Prior High - The bar opens above the prior high but allows intraday price action to dip below it. This is a less strict requirement that captures gap-ups with some intraday retracement.
- No Requirement - No gap condition is enforced on the bar itself; only the other configured criteria must be met.
▪ Require Price > Earnings Gap-Up Day Low
Require current price to be above the gap-up bar low. This can help identify stocks showing continued momentum and an upward trend.
Earnings And Sales Acceleration
▪ Quarters of Acceleration
You can specify between 1 and 4 quarters of earnings and/or sales acceleration.
🔹 Installation And Usage
▪ Mark this indicator as a Favorite.
▪ Use the Pine Screener to search for stocks.
▪ Save the search results to a watchlist.
▪ View the watchlist in TradingView.
🔹 Note
▪ Reversal Risk: Not all gap-ups follow through, overreactions often lead to partial or full gap fills.
▪ High Volatility: Gap-ups can be unpredictable, requiring quick decision-making and discipline.
🔹 Earnings Gap-Up
An earnings gap-up refers to a significant price gap up after an earnings report, reflecting a rapid shift in investor sentiment and perceived value. Ideally, the move is sharp, sustained, and accompanied by high trading volume, signaling a potential trend continuation or reversal.
A gap is the difference between the closing price of a stock on the day before an earnings report and the opening price the next trading day. An earnings gap-up typically exceeds a defined threshold (e.g., 8-10%) and is driven by earnings surprises, guidance changes, or other significant news.
Strong earnings beats, misses, or forward-looking guidance can trigger these gaps. For example, a company reporting higher-than-expected profits or raising guidance might gap-up, while a miss or weak outlook could cause a gap-down.
The gap-up is often accompanied by above-average trading volume, confirming the move's strength. Earnings gap-ups often lead to sustained price movement in the direction of the gap (continuation) or signal a reversal if the gap fills quickly.
🔹 Earnings Gap-Ups: Why They Matter to Traders
▪ Earnings gap-ups often indicate strong momentum. Traders can capitalize on this by entering trades in the direction of the gap (e.g., buying on a gap-up if momentum continues).
Example: If a stock gaps-up 10% after a stellar earnings report and shows high volume, traders might buy, expecting further upside as momentum builds.
▪ Breakout Opportunities: A gap-up through key technical levels (e.g., resistance or support) can signal a breakout. Traders use these gap-ups to identify potential long-term trends.
Example: A stock breaking above a resistance level on an earnings gap-up may continue to rally, offering a setup for swing or position traders.
▪ Volatility for Short-Term Trades: Earnings gap-ups create heightened volatility, ideal for day traders or scalpers. The large price swings can allow for quick profits when timed correctly.
Example: A trader might use options (e.g., calls for a gap-up, puts for a gap-down) to leverage the volatility around earnings.
▪ Confirmation of Fundamental Strength/Weakness: An earnings gap-up often reflects a fundamental shift, e.g., strong earnings growth or a major business development. Traders can use this to align technical setups with fundamental catalysts.
Example: A gap-up after a company raises its full-year guidance might signal a long-term buying opportunity.
▪ Risk Management and Stop Losses: Gap-ups provide clear levels for setting stop-loss orders. For instance, traders might place stops at or below the gap-up bar low to protect against a potential reversal.
Example: If a stock gaps-up from $100 to $110 and intraday hits a low of $105, a trader might set a stop at $105 or lower to limit downside risk.
▪ Gap Fill Strategies: Some traders anticipate gaps filling, meaning the stock returns to its pre-gap price. If an earnings gap-up seems overextended (e.g., due to market overreaction), contrarian traders might short a gap-up, anticipating a pullback.
Example: A stock gaps up 15% but lacks volume or follow-through; a trader might short it, expecting the price to retreat.
🔹 Earnings & Sales Acceleration
Earnings and sales acceleration refers to the increasing rate of growth in a company's earnings and revenue over consecutive quarters. It highlights companies that are not only growing but doing so at an accelerating pace, signaling improving financial health and operational momentum. This metric is derived from earnings reports, which detail a company's financial performance.
Key Concepts
▪ Earnings Acceleration: When a company's earnings per share (EPS) growth rate increases over time (e.g., EPS growth of 10% in Q1, 15% in Q2, 20% in Q3). It indicates improving profitability, often due to cost efficiencies, margin expansion, and strong demand.
▪ Sales Acceleration: When revenue growth rates increase over time (e.g., revenue growth of 5% in Q1, 8% in Q2, 12% in Q3). This reflects rising demand for products/services and operational efficiency.
▪ Relation to Earnings Reports: Acceleration is calculated by comparing sequential quarter-over-year growth rates in earnings and sales, often highlighted in earnings reports or analyst commentary. It signals fundamental strength when both metrics accelerate simultaneously.
🔹 Earnings & Sales Acceleration: Why It Matters to Traders
▪ Identify High-Potential Stocks: Stocks with accelerating earnings and sales often attract investor attention, as they signal that a company is outperforming expectations and gaining market share. This can lead to sustained price appreciation.
Example: A tech company reporting 20% EPS growth and 15% sales growth quarter-over-quarter may see bullish price action as investors bet on continued momentum.
▪ Momentum Trading Opportunities: Acceleration often fuels stock price momentum, especially post-earnings. Traders can ride these trends using technical setups like breakouts or pullbacks.
Example: A stock breaking above a key resistance level after reporting accelerating growth may be a buy signal for swing traders.
▪ Early Indicator of Breakouts: Companies with accelerating fundamentals are more likely to experience price breakouts, as institutional investors (e.g., hedge funds, mutual funds) pile in. Traders can use this to position early.
Example: A retailer with accelerating sales due to strong holiday demand might gap-up post-earnings, offering a breakout trade.
▪ Confirmation of Fundamental Strength: Acceleration validates a company's growth story, reducing the risk of investing in stocks with inconsistent performance. Traders can align technical trades with strong fundamentals.
Example: A biotech with accelerating sales from a new drug launch may sustain a rally, giving traders confidence in long positions.
▪ Volatility for Short-Term Trades: Earnings reports showing acceleration often lead to significant price gaps or volatility, creating opportunities for day traders or options traders.
Example: A trader might buy call options on a stock expected to report accelerating earnings, anticipating a sharp post-earnings move.
🔹 Earnings Gap-Up - Examples
🔹 Screening Features - Setting Your Search Criteria
Earnings Gap-Up
▪ Search Range
How many bars back to search for earnings gap-ups, anywhere between 1 and 90 bars.
▪ Last Bar Only
Look only at the last bar for an earnings gap-up. This is useful when screening at the end of a trading day for the most recent price action. When this option is selected, the Search Range setting will be ignored.
▪ Minimum Price % Gap Up From Prior Close
The minimum price gap percentage required to qualify as an earnings gap-up.
▪ Minimum Volume % Change Over Average
The minimum volume increase, relative to the 50-day average, required to confirm an earnings gap-up.
▪ Require Positive Surprise
When enabled, the screener will only return results where the company reported earnings that exceeded analyst estimates. The minimum surprise percentage can be configured to filter out marginal beats and focus on meaningful outperformance.
▪ Require Closing Range
Specify a minimum closing range (as a percentage of the bar's daily range) to confirm the stock closed near its highs.
▪ Gap-Up Bar Requirement
The gap-up bar can be configured to require one of the following:
- Open Above Prior High - The bar opens above the prior bar's high, ensuring a clean, visible gap with no price overlap between sessions.
- Low Above Prior High - The bar opens above the prior high but allows intraday price action to dip below it. This is a less strict requirement that captures gap-ups with some intraday retracement.
- No Requirement - No gap condition is enforced on the bar itself; only the other configured criteria must be met.
▪ Require Price > Earnings Gap-Up Day Low
Require current price to be above the gap-up bar low. This can help identify stocks showing continued momentum and an upward trend.
Earnings And Sales Acceleration
▪ Quarters of Acceleration
You can specify between 1 and 4 quarters of earnings and/or sales acceleration.
🔹 Installation And Usage
▪ Mark this indicator as a Favorite.
▪ Use the Pine Screener to search for stocks.
▪ Save the search results to a watchlist.
▪ View the watchlist in TradingView.
🔹 Note
▪ Reversal Risk: Not all gap-ups follow through, overreactions often lead to partial or full gap fills.
▪ High Volatility: Gap-ups can be unpredictable, requiring quick decision-making and discipline.
Disponível em Espaço Pago
Este indicador está disponível apenas para assinantes de TrendPro Suite — Find Your Edge. Assine para acessar este e outros scripts de LevelUpTools.
Join traders in over 40 countries and LevelUp!
tradingview.com/spaces/LevelUpTools/
tradingview.com/spaces/LevelUpTools/
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.
Disponível em Espaço Pago
Este indicador está disponível apenas para assinantes de TrendPro Suite — Find Your Edge. Assine para acessar este e outros scripts de LevelUpTools.
Join traders in over 40 countries and LevelUp!
tradingview.com/spaces/LevelUpTools/
tradingview.com/spaces/LevelUpTools/
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.