For the last five months, contracts have developed a “range” shortly after becoming prompt and Oct is doing the same. This trade behavior has limited any chance for the market to breakout or break down, which is why the break above the 50 Day SMA was short lived and died quickly (discussed in the Weekly section). The Q4 rally could provide the environment to break above the current range. If it doesn’t will the Nov provide the opportunity? Not sure as it closed last week just above the high side of the current range at $3.20. Play the Oct range.
Major Support: $3.00-$2.97, $2.897-$2.843, $2.727, $2.648 Minor Support : Major Resistance: $3.061, $3.16, $3.192, $3.25-$3.31,$3.39, $3.62, $4.168, $4.461,
