Starwood Hotels Bearish Signs

Published on Tuesday, 01 May 2012 04:03 Written by TradersHuddle Wire

New York, May 1st (TradersHuddle.com) - Shares of Starwood Hotels & Resorts Worldwide, Inc. (NYSE:HOT) ended the trading session lower by $0.99 or -1.64% from its previous close. Starwood's price action formed what is considered to be a bearish engulfing candlestick chart pattern.

Starwood Hotels & Resorts Worldwide, Inc. (NYSE:HOT) owns, manages, and franchises luxury and upscale hotels throughout the world. The Company also develops and operates vacation interval ownership resorts.

Starwood's current stock range is determined by calculated support defined at $55.97 and by the resistance level at $60.39, which should be used by traders planning their next move.

If traders want to establish a position in Starwood Hotels, they need to pay close attention at the bearish engulfing pattern, since it could mark a trend reversal in the current price action. The Bearish engulfing pattern is a leading warning sign; therefore, traders should closely monitor Starwood Hotels for indications of a trend reversal. Below an Engulfing Bearish Candle Illustration: