We made a call on LTS, long @ 1.27 on Thursday and got stopped out at 1.19. LTS had a complete lack of buyers and some aggressive short sellers really knocking down the price. We did not see market makers providing much liquidity, either. It was a vicious day that closed LTS at 0.98. Today’s trading of LTS brought it from 0.90 to 1.10. A very wide range again because of illiquid trading and lack of market maker participation to facilitate narrow spreads and orderly execution of trades.
At this point LTS hovers around $1, which is another level of multiyear support. The courageous may want to endeavor upon a retry of the trade, with a stop below a close of $0.90. We do feel the market is very oversold and LTS as an equity is in a vacuum right now as far as buyers are concerned. LTS could slip to $0.50 if this vacuum continues. We recommend caution trading this market regardless of which side of the trade you may be on.
