The fact that RAYS was trading at all pre-market, and to the downside would frighten me as a long. Somebody wanted to get out and didn't even want to wait for market open.
Yesterday's bounce from 1.1 - 1.19 at 15:15 was ~100k volume
This morning's panic from 1.13 to 1.05 on market open was ~300k volume
Don't forget that Dec 9th (the ~30% drop) was on nearly 7M volume, while the past two days "bounce" have both been under 1M traded each day and declining on volume.
It doesn't take a genius at TA to see volume spikes are higher to the downside, and any "breakout" above the 1.25 resistance is going to require volume which just isn't there on the buy side; both bearish signs. I sold yesterday at 1.17 on the end of day spike, covered this morning at 1.11. I should've waited about 10-15min longer and could've made a couple hundred more. Oh well, being on the RAYS sell side has been nice to me past week and half. If it bounces again to 1.25 I'll probably go short again, but that's a big if.
