What is the PREM indicator? (it's claimed to work 90% of the time)

FROM:
http://www.tradingmarkets.com/.site/Daytrading/commentary/lftw/09302005-46122.cfm

The "premium" (PREM) or "spread" is the difference between the most active S&P 500 Stock Index Futures Contract (the spoos) minus the actual S&P 500 Stock Index (cash). That difference, which usually ranges between $5.00 to $-5.00, and slowly decays or rises as we reach the S&P 500 Futures Contract expiration, is what program trading is based on. When the PREM difference rises to a certain execution level, "buy" programs kick in.
 
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