Sirius: The Quick Technical Take

Yesterday, Sirius bounced off of strong support at $3.60, a positive sign for longs. The catalyst may have been the article posted by Motley Fool, "Why Does Everyone Hate Sirius?" , or perhaps the stock is simply oversold.

Whatever the reason, today's trading is important...if the stock closes above $3.70, it may indicate a sentiment change to the upside. Some shorts seem to think so...short interest declined about 16% from 141,092,901 to 118,871,835 in December.

There is strong resistance in the $4.20 range; a breakout above this level may be a catalyst for the shorts to run for cover!