Category: Daily Call

It is beginning to look like prices aren’t going to melt down on the run up to $3.15 as they did in previous runs. The other major difference is the fact that open interest is gaining while prices have traded over $3.00 and the volume this week is greater (on average) than last week. This is starting to look like a consolidation pattern that will keep the floor around $2.90-$3.00.

Major Support: $2.914-$2.886, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support: $3.00, $2.876, $2.694, $2.483, $2.162
Major Resistance: $3.12-$3.15, $3.251, $3.31, $3.396

The action yesterday created an inside range from the range on Monday– bu the key was they did not melt down from the rally as they did last week and earlier in February. This is a bullish indication that prices may consolidate the gains and extend higher later in the month. As a trader- I would like to see the market retrace to the break zone last week at $2.90 and then see how it reacts. Continue to play this new mini-range between $3.00-$3.15 for now.

Major Support: $2.914-$2.886, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support: $3.00, $2.876, $2.694, $2.483, $2.162
Major Resistance: $3.12-$3.15, $3.251, $3.31, $3.396

Strong gains yesterday, confirming the gains from Sunday and Monday. Pardon my skepticism, but we have seen this kind of rally dwindle away in the next day. The question remains how much it retraces the gain and / or does it maintain the support levels. Further gains beyond resistance will set up for additional gains. Declines will take prices back to the old range trade.

Major Support: $2.914-$2.886, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support:$2.876, $2.694, $2.483, $2.162
Major Resistance: $3.12-$3.15, $3.251, $3.31, $3.396

Price action ended the week on a positive note and opened on Sunday night with a solid run, confirmed on late Monday trade. While the continuous chart continues to show a range trade environment, the spot July chart is more constructive (as discussed in the Weekly section). The directional bias for July will be a battle and currently, the price remains near the top of the resistance zone.

Major Support: $2.914-$2.886, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support:$2.876, $2.694, $2.483, $2.162
Major Resistance: $3.01-$3.042, $3.12-$3.15, $3.251, $3.31, $3.396

Jun expired on the higher side of the range and July quickly traded into the June expiration range. There remains a nickle spread between Jun and Jul and would expect a retracement into that range. The July chart looks more supportive than any of the recent monthly charts and will go into that on the weekend. For now — play the range– and have a great weekend as I will not be publishing a Daily on Friday.

Major Support: $2.883, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support:$2.876, $2.694, $2.483, $2.162
Major Resistance: $3.01, $3.12, $3.251, $3.31, $3.396

The range trade continued with a slight extension for prices as options expired. The July contract continued to trade between $.06-$.07 premium to the June so now what happens to June may not extend to the July contract. What ever the variance to the June contract it would be wise to expect July to test some part of the expiration range as it takes over as prompt.

Major Support: $2.883, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support:$2.876, $2.694, $2.483, $2.162
Major Resistance: $3.01, $3.12, $3.251, $3.31, $3.396

Prices gradually rallied during the day to close the small gap from the Sunday night open. No technical variance from what was discussed yesterday and on the Weekly portion of the website. Having some dental work tomorrow — as a result may not be able to write the Daily– and not sure it would make any sense.

Major Support: $2.883, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support:$2.876, $2.694, $2.483, $2.162
Major Resistance: $3.01, $3.12, $3.251, $3.31, $3.396

Discussed last week that the trade would help “define” the expiration process this week. The failure of the rally (creating a weekly reversal — see the Weekly section) has assisted in determining the annual weakness surrounding Memorial Day Holiday. Prices on Sunday night do what they do best (create a narrative going into Monday) and have created a small gap in the weekly and daily charts. As mentioned last Monday on the rally — it will be interesting to see if this narrative remains through the day and expiration.

Major Support: $2.883, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support:$2.876, $2.694, $2.483, $2.162
Major Resistance: $3.01, $3.12, $3.251, $3.31, $3.396

Apologies for no Daily in the email this a.m.– I am not technically trained in computers and had some internet issues while observing a hockey game. Would of been a waste of time as the market is just going to test the low side of the trade range going into expiration week as discussed yesterday.

Major Support: $2.883, $2.78, $2.71-$2.70, $2.658, $2.52, $2.422-$2.414
Minor Support:$2.876, $2.694, $2.483, $2.162
Major Resistance: $3.01, $3.12, $3.251, $3.31, $3.396