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Fed talk driving these moves.

Yes but I assumed that we were talking about full gaps, and not partial gaps (half gaps). Pls continue on other thread, I will be over there.

Nah we were talking about RTH ES only, there are very few gaps on the ES if we include ETH, you wont find many even on the minute charts. ES RTH range on 1st May = 1391.25 - 1411.75. ES RTH on 2nd May opened at 1394, so the open was well within the trading range of 1st May. Its not a gap...

The gap is only visible on lower time frames, and I am not arguing that it doesn't exist on the minute charts (it does). What I'm saying is that there is no gap on the daily, yesterday's bar was an inside bar. None of the traders I know IRL would classify an inside bar as a gap, but I guess none...

Time to pay that 90 level another visit.

The way I think of gaps is that the open of the current bar must be outside the range of the previous bar to qualify as a gap. Do traders simply look at the last close? For example, ES range on 1st May was 1391.25 - 1411.75 (RTH), close was 1400.5. Subsequently it opened lower at 1394 (RTH) on...

The way it appears on the daily chart is all that matters... Look at the 5min chart you posted again and tell me would have considered the 2nd May open a gap if we had opened at 1402? I think not because that would have been an open within the range of the previous bar. Now apply the same logic...

Thats a weird way of defining a gap. If you are only referring to the daily bar then yesterday was an inside bar, not a gap. Its true that we opened at 1394, lower than the close of 1st May, but don't forget that we opened at 92 on 1st May, so the body of the bar was from 92 to 1400...

Yea... and there would be no gap because we opened at 92, traded to 1411 and closed at 1400. 5/1 RTH was a long white bar with upper shadows, the only way we would have got a gap was if we opened at 89 or something, that would have produced a small gap.

Now I'm confused. There is no gap unless you are talking about minute bars (like the chart you posted). 5/1 RTH was a solid bar with upper shadows (from 92ish open to 1400.5 close).

I'm guessing its because 90 held again, thats not good for the bears' confidence.

Interesting. So you ignore the ETH moves and only look at RTH prices on the ES? I analyse/trade gaps too, but only for the SPX/SPY because they don't trade round the clock. I guess thats essentially the same thing as trading RTH ES gaps, except that I don't look at gaps on lower time frames...

I see... but wouldnt there be gaps on nearly every trading session if you used only settlement? I've heard of traders ignoring upper/lower shadows in gap analysis, but never the solid body of the bar.

What gap is that? On the SPX? But we opened and traded as low as 91.25 yesterday, why would there be any gap? :confused:

Looks like the range for today is slightly larger than I thought, but still a very sloppy day nonetheless. :p

I doubt this will happen today because the daily chart looks absolutely horrid, but of course with these markets you never know... My guess is we have already seen the RTH highs/lows of the day.

Scratch that, don't think this is going to get there today.

Looking to go long at 87.

Testing the 88-90 area again.

I guess they are not laughing now. :D