Major Support: $1.909,$1.872, $1.611 Major Resistance: $2.08-$2.10, $2.34, $2.437, $2.48-$2.52, $2.716-$2.755 Minor Resistance: $2.21
The close below $2.00 opened up the possibility for prices to capitulate and they have last night dropping to $1.83. Would expect prices to stay above that area during trade today but the key question (with the expansion of the Managed Money short trade) are there enough additional shorts to significantly add to and extreme existing position. You will see on the charts above the Bollinger study has prices beyond 2 standard deviations and the RSI study is in extreme over sold territory. Can’t say prices won’t extend further, but there is likely a brief reckoning coming.
