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E-Mini SP500 Futures VS. SPY: Support & Resistance


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  #1 (permalink)
Andreas Faurholdt
Aalborg, Denmark
 
Posts: 5 since May 2023
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Hello

When dealing with support, resistance, and trend lines on higher time frames, there is a difference between the SPY and E-mini SP500 futures.
As far as I understand from reading on the internet & BTC        , this is due to futures being "forward-looking" so they take interest and dividends into account (I don't quite understand it). Then there are also roll-over gaps when a contract expires and moves to a new one, and you can choose to back-adjust to remove these artificial gaps and plot it all on a continuous contract chart (still don't really understand this).

So my bottom line question is, what support level is significant here when comparing these 2 charts, the prices are clearly not aligned? SPY didn't hit it but the E-mini SP500 futures did. Perhaps I am missing something in my TradeStation settings?

Thanks,
Andreas


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  #2 (permalink)
SunTrader
Boca Raton, FL
 
Posts: 267 since Nov 2018
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Assume you have since seen the "gap" area get filled.

In any case eMini (which I trade) has 23 hour trading day and SPY (which I don't trade) has I believe a 16 hour trading day. Therefore the difference sometimes.


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Last Updated on September 9, 2023


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