Major Support: $2.52-$2.486, $2.41-$2.38, $2.346, $2.212-$2.207, $2.185,$2.12, $2.029 Minor Support: $2.33 Major Resistance: $2.716-$2.755, $2.884-$2.908, $2.984 Minor Resistance: $2.642
We loose options today which is unlikely to provide serious volatility, but with the market opening higher last night with a gap in the Jan contract only to retrace that gap leads me to believe that we might have some volatility today. Remember the trend of the last 2+ years is that there is a rally during the expiration process— usually at the end. The speculative short increased their positions significantly before Tuesday of last week which also explains the potential of another short covering rally if the fundamental traders get spooked. While the “island reversal” has held — it is not beyond capitulation, rather just a trading indication. Will be travelling to enjoy the Thanksgiving Holiday at my daughter, house so there will be no Daily until next Monday, unless I get bored and find time. Wishing all of you that read my ramblings, a wonderful break from the routine and spend time with the family.
