I am, more and more, suspecting that these high volume days to the upside are days that SiriusX is buying back shares. We traded 138 million shares in the action on Wednesday on what was essentially a no news day. The good news is that we moved away from that dangerous $3.40. The bad news is that despite such high volume, we could not get the equity to see a close above the 200 day moving average. We got a little breathing room, but we are not yet in the safe zone.
Currently we sit just below the 50 day EMA at about $3.50 and 9 cents shy of my short term upside target of $3.56. We are above support at $3.41, but there is nothing really in between. Essentially we have a wall of sorts at $3.50 and $3.56, and a foundation of about $3.41. The very near term indication would be that the equity has a trading range in the $3.40's, wityh a potential to knock on the door of the 200 day EMA on the upside a couple more times before it breaks through.
Keep the volume and the direction in mind as you assess. It is my belief that there will be no compelling news until after the holidays.
Support and Resistance
Exponential Moving Averages