The history of December action commenced last week and will likely continue for this week and next. Open interest changes flatten, volume declines and folks square their books for year end. The only issue that can occur with the declining interest in trade is volatility. Occasionally, this period can be characterized with an increase in volatility due to the reduction of participants. Regardless of bullish or bearish, keep stops tight through year end. It was interesting that the Managed Money short position was reduced significantly through last Tuesday (date of Report 12/15) as prices spun in the $2.60’s.
Support: $2.425,$2.373, $2.255-$2.176 Minor Support: $2.596, $2.162 Major Resistance: $$2.74-$2.789, $2.98-$3.05, Minor Resistance: $2.798
