More Upside for Buckeye ?

Published on Monday, 09 January 2012 12:34 Written by TradersHuddle Staff

New York, January 9th (TradersHuddle.com) - Shares of Buckeye Technologies Inc. (NYSE:BKI) booked a new 52 week high today by trading above $35.8, traders are definitely monitoring Buckeye's price action to see if this move attracts further buying into the stock.

Buckeye Technologies Inc. (NYSE:BKI) is a leading producer of cellulose-based specialty products. Buckeye is the only manufacturer in the world offering cellulose-based specialty products made from both wood and cotton and utilizing wetlaid and airlaid technologies. It operates manufacturing facilities in the United States, Canada, Germany and Brazil. Its product lines are grouped into four categories: chemical cellulose, customized fibers, fluff pulp and nonwoven materials. It manages these products within two reporting segments: specialty fibers and nonwoven materials. The chemical cellulose and customized fibers are derived from wood and cotton cellulose materials using wetlaid technologies. Fluff pulps are derived from wood using wetlaid technology. Wetlaid technologies consists of cellulose manufacturing processes, in which fibers are deposited using water.

Buckeye is currently trading 0.96% versus its previous trading session close, and it has calculated support and resistance at $29.90 and $34.61 respectively. Clearly with this action this range has been penetrated, and traders will be reviewing price action to establish a new tradable range

The overall market index S&P 500 is trading flat by -0% from its previous trading close, which means that Buckeye stock is outperforming the overall market.