S&P 500 Emini Day Trading Gap Friday September 11, 2009

S&P 500 Emini Day Trading Gap Friday September 11, 2009

S&P Emini 500 Futures opened just a couple of ticks above yesterday’s close, so we had no gap today.  Prices plunged to the low of the day, 1027.50, by 9:50, then began a day long up trend.  There was an hour long consolidation that began at 10:40, then the index climbed to the high end of it’s 16.5 point range.  A flag formation at 2 p.m. looked bullish, but lost support at 3 p.m.  The loss of support corresponded with the break in the up trend line from the 9:50 low.  The index rallied in the last hour to close at the high end of the day’s range at 1043.00.  The last 5 minute candlestick printed the day’s high of 1044.00.  Today’s close marks the high for the year, and puts the daily chart close to overbought territory.  Watch for a correction off the 6th up day in a row.  The 5 minute and 60 minute intra-day charts also closed showing an overbought condition.  Today is contract changeover from  September to December.  Tomorrow’s trading will be done on the ES 12-09.