The PREM What it Is and How to Read It

[gqguy2003]

The high SP premium at 9:04 cst was predictive of a return to the price associated with the high of that bar. 1478.25

That fact was good reason to go long on the pull back until the spoos return to 1478.25 which they did at 13:40 cst.

 

[tortoise]

Quote from gqguy2003:

Never looked at this. What is the symbol for the dow premium.

Is there any reason why one can't simply subtract the price of the cash from the price of the futures on a one minute bar (or a one second bar, I suppose) and, presto, there's your prem? What am I missing here?

Thanks....

 

[Charly]

Quote from gqguy2003:

The high SP premium at 9:04 cst was predictive of a return to the price associated with the high of that bar. 1478.25

That fact was good reason to go long on the pull back until the spoos return to 1478.25 which they did at 13:40 cst.

The points you make are highly interesting - however, I can't read your
charts unfortunately - too much compressed.
Would you please repat 1 or 2 examples
with less data in order to see the HIs or
LOs of the PREMs?

Thanks for caring.
Charly