What a day of trade– prices took the cue from the Sunday Silliness and rocketed prices up to the highs of $8.183 only to find significant selling that took prices back below where they started on Sunday. From there– prices rallied back up above the $8.00 level but on lighter volume. Don’t usually show the 5 minute chart that shows price movement in 5 minuted increment but felt it told the story I wanted to provide today–
On the top of chart is the price and on the bottom is the volume associated with the 5 minute price action. Notice the strong volume in the 8-9 am time frame (CDT) only to collapse on good volume for the rest of the morning. Then on lighter volume prices gradually rallied back up to the close just above $7.95. Why is this important– you need to know that this volatility is being caused by light trade not “general consensus”– that is why the divergences were discussed in the Weekly section. Be very careful buying in or selling early directional movements.