Since the financial crisis bottom in 2008, price rallied smartly to take out the old highs and then backed off precipitously. So much so, we are actually working a price pattern over the medium term (a la CRI's WCTS short stance). The break of the 2.994 level recently suggests prices wants to move lower (lower highs and lower lows) and the price pattern itself ( ) suggests a target of $2.4435. Coincidentally, the Optimal Long Trade Entry sweet spot (or OTE L ss for short) off the financial crisis lows currently sits at $2.25.
It may take a bit of time to work our way down into that target zone. Should a test of the summer lows hold, counter trend rallies back to resistance are not out of the question. It is my opinion rallies up into resistance (the current OTE short ss level is at 3.9895) ought to represent interesting shorting opportunities. I shall be keeping an eye open for that trade going forward. Conversely, I would only be interested in covering those shorts on an ultimate move into the indicated 'Target Zone' above.