Not sure what that rally was all about and I am sure that those in the narrative industry have it all figured out (they wish they can explain movements and feel important)– I will rack it up that some folks were expecting the declines from Monday as insight to selling and wanted to catch some of the shorts which is as good an explanation as any. Frankly the “why” is of no interest to me. That activity happens in all commodities on a daily basis. More important to me is the next move– because we have discussed many times, that positive moves based on short covering are not long for life. The CME website has not updated the data with preliminary results from yesterday’s trade so there is no way to confirm short covering. Will update on the Website tomorrow during the day– if interested check in later in the morning. With the move yesterday– the market is starting to be a little frothy again.
Major Support: $4.378, $4.211, $4.156, $3.92, $3.821, $3.722, $3.58, $3.538-$3.511, $3.385, $3.368-$3.316, Minor Support: $4.728-$4.70, $4.65 Major Resistance: $4.904, $5.01, $5.21-$5.39
