Are the Bears Taking Control over Live Nation?

Published on Friday, 12 October 2012 04:54 Written by TradersHuddle Wire

New York, October 12th (TradersHuddle.com) - Shares of Live Nation Entertainment (NYSE:LYV) ended the trading session lower by $0.13 or -1.47% from its previous close. Live Nation's price action formed what is considered to be a bearish engulfing candlestick chart pattern.

Live Nation Entertainment (NYSE:LYV) is the largest live entertainment company in the world. The company produces live concerts and sells tickets to those events over the Internet and it also offers ticketing services for leading arenas, stadiums, professional sports franchises and leagues, college sports teams, performing arts venues, museums and theaters.

Live Nation's current stock range is determined by calculated support defined at $8.16 and by the resistance level at $9.03, which should be used by traders planning their next move.

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