Major Support: $2.52, $2.41-$2.38, $2.212-$2.207, $2.185,$2.12, $2.029 Minor Support: $2.633, $2.57, $2.33 Major Resistance: $2.716-$2.755, $2.884-$2.908, $2.984
Big event yesterday and today will be key. Prices yesterday sent an “island top” for the market to deal with. This is a technical event where all of the supportive issues driving the market were left in the dust as prices gapped lower and never came close to filling. A sign of exhaustion of the buying which was all based on short covering discussed over the last week. If you don’t get gaining open interest on higher volume you don’t have a recipe for higher prices longer term. Perhaps the bulls will try to trade into the island but they will be me will serious selling from a group of bears that just got there claws burned. Discussed yesterday that this is now more of a bearish trade and prices should try to challenge major support.
