Are the Bears Taking Control over Akamai?
Published on Monday, 21 May 2012 04:15 Written by TradersHuddle Wire
New York, May 21st (TradersHuddle.com) - Shares of Akamai Technologies, Inc. (NASDAQ:AKAM) ended the trading session lower by $0.65 or -2.2% from its previous close. Akamai's price action formed what is considered to be a bearish engulfing candlestick chart pattern.
Akamai Technologies, Inc. (NASDAQ:AKAM) provides global delivery services for Internet content, streaming media, and applications and global Internet traffic management. The Company uses technology and software to offer tools that provide reporting and management capabilities; network data feeds and Website analytics, which provide customers with real time data about the performance of their content and applications over the Internet.
Akamai's current stock range is determined by calculated support defined at $29.62 and by the resistance level at $39.09, which should be used by traders planning their next move.
If traders want to establish a position in Akamai, 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 Akamai for indications of a trend reversal. Below an Engulfing Bearish Candle Illustration: