S&P 500 Emini Day Trading Gap Friday November 13, 2009

S&P Emini 500 Futures gapped down 1.50 points Thursday morning, but the small gap filled in the first 25 minutes of trading.  The index took another run at the 1100.00 level in the morning session but was unable to break through the resistance.  After the index pierced 1100.00, prices went down in ragged areas of descending consolidation.  The close came at 1085.50, just three points from the day’s low.  Volume was average at 2.0 million contracts, and the day’s range was above average at 18.50 points.  The 14 day average true range has fallen over the last few days to 14.00 points.  Today’s action could be considered bearish, since the index has failed to break through the high for the year, but it’s still too soon to say a major correction is coming to the down side.  Daily charts are showing more of a sideways move in the market.  When that happens, a break out or break down could soon follow.