Cooper Industries Had a Bearish Engulfing Candle

Published on Friday, 23 July 2010 01:06 Written by Christopher Lynn

New York, July 23rd (TradersHuddle.com) - Shares of Cooper Industries PLC (NYSE:CBE) ended the trading session lower by $2.31 or -4.93% from its previous close. Cooper's price action formed what is considered to be a bearish engulfing candlestick chart pattern.

Cooper Industries PLC (NYSE:CBE) is a global, diversified electrical products and tools manufacturer based in Houston, Texas. Its products include electrical distribution equipment, wiring devices, support systems, hazardous duty electrical equipment, lighting fixtures, emergency lighting, fuses, nonpower hand tools and industrial power tools.

Cooper's current stock range is defined by calculated support defined at $43.84 and by the resistance level at $46.65, which should be used by traders planning their trades.

Traders wanting to establish a position in Cooper Industries stock need to pay close attention at the bearish engulfing pattern, since it could mark a trend reversal to current Cooper Industries shares price action. The Bearish engulfing pattern is a leading warning sign, therefore traders should closely monitor price action for indications of a trend reversal. Below an Engulfing Bearish Candle Illustration: