Price action broke through the $4.00 level which has been a formidable area of support for nearly a month– now what? I am going to consider this with a “neutral” bias and will wait to see confirmation today. Want to look at the volume and open interest levels from this week and relate them to the price declines. What happened a few days back (higher highs on higher volume and increasing open interest) should not be discounted to the semi-weekly reversal mentioned in my Weekly on Monday. The market (as it does quite often) is sending conflicting technical signals.
Major Support: $3.16-$2.97, $2.727, $2.648, Minor Support : $3.827-$3.801 $3.742 Major Resistance: $4.00, $4.168, $4.461, $4.501, $4.551, $4.746-$4.75, $5.031
