*first, an update on the BDI
Another 7% lower for the BDI today, and its back in the 1300s...almost a full 1000pts below the levels of late November.
It had appeared DRYS would just do a standard back test of the old $4 level...yet..with the BDI still on the slide, DRYS has failed to hold. The fact the main market is seeing minor weakness is also not helping.
Where is the next support?
The bigger weekly chart is offering next major support around current levels..in the $3.50s. A weekly close <$3.50 would be a real problem, and open the door to the $3.00 threshold...right back to mid-November levels.
Certainly, the current situation is marginal for the bulls, and the recent break back into the $3s will have seen a great many having been kicked out of their positions.