Is Crown Castle Trade Over?

Published on Wednesday, 20 June 2012 05:00 Written by TradersHuddle Wire

New York, June 20th (TradersHuddle.com) - Shares of Crown Castle International Corp. (NYSE:CCI) ended the trading session lower by $0.64 or -1.09% from its previous close. Crown Castle's price action formed what is considered to be a bearish engulfing candlestick chart pattern.

Crown Castle International Corp. (NYSE:CCI) owns, operates, and leases towers and other communication structures for wireless communications. Crown Castle offers significant wireless communications coverage to 91 of the top 100 US markets and to substantially all of the Australian population.

Crown Castle's current stock range is determined by calculated support defined at $52.58 and by the resistance level at $56.89, which should be used by traders planning their next move.

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