Is Electronic Arts Trade Over?

Published on Monday, 19 December 2011 04:45 Written by TradersHuddle Staff

New York, December 19th (TradersHuddle.com) - Shares of Electronic Arts Inc. (NASDAQ:ERTS) ended the trading session lower by $0.69 or -3.3% from its previous close. Electronic Arts' price action formed what is considered to be a bearish engulfing candlestick chart pattern.

Electronic Arts Inc. (NASDAQ:ERTS) develops, publishes, and distributes branded interactive entertainment software worldwide for video game consoles, personal computers, handheld game players, and cellular handsets.

Electronic Arts' current stock range is defined by calculated support defined at $20.26 and by the resistance level at $23.80, which should be used by traders planning their trades.

Traders wanting to establish a position in Electronic Arts stock need to pay close attention at the bearish engulfing pattern, since it could mark a trend reversal to current Electronic Arts 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: