Candlesticks - Bearish Engulfing Dominion Resources

Published on Wednesday, 30 May 2012 04:46 Written by TradersHuddle Wire

New York, May 30th (TradersHuddle.com) - Shares of Dominion Resources, Inc. (NYSE:D) ended the trading session lower by $0.02 or -0.04% from its previous close. Dominion's price action formed what is considered to be a bearish engulfing candlestick chart pattern.

Dominion Resources, Inc. (NYSE:D) is a diversified utility holding company that generates, transmits, distributes, and sells electricity in Virginia and northeastern North Carolina. The Company also produces, transports, distributes, and markets natural gas to customers in the Northeast and Mid-Atlantic regions of the United States.

Dominion's current stock range is determined by calculated support defined at $50.03 and by the resistance level at $53.68, which should be used by traders planning their next move.

If traders want to establish a position in Dominion Resources, 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 Dominion Resources for indications of a trend reversal. Below an Engulfing Bearish Candle Illustration: