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Hickey and Walters (Bespoke) submit: IBM is currently trading up just over 4% in the pre-market this morning. From our interactive earnings database, we went back and found prior times when the stock has had similar gaps to see how it has typically done from the open to the close that day.

As shown below, when IBM has gapped higher on earnings, it has gone down from open to close 10 out of 13 times (since our database begins in 10/01). Of the four times that it has gapped up more than 4% on earnings, it has gone down from open to close all 4 times for an average change of -1.47%.

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ibm

Source: IBM Gaps Up On Earnings: Likely To Trade Down To Close

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