Candlesticks - Bearish Engulfing Navistar
Published on Friday, 26 October 2012 04:45 Written by TradersHuddle Wire
New York, October 26th (TradersHuddle.com) - Shares of Navistar International Corporation (NYSE:NAV) ended the trading session lower by $0.49 or -2.57% from its previous close. Navistar's price action formed what is considered to be a bearish engulfing candlestick chart pattern.
Navistar International Corporation (NYSE:NAV) manufactures and markets medium and heavy trucks, school buses, mid-range diesel engines, and service parts.
Navistar's current stock range is determined by calculated support defined at $18.47 and by the resistance level at $23.47, which should be used by traders planning their next move.
If traders want to establish a position in Navistar, 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 Navistar for indications of a trend reversal. Below an Engulfing Bearish Candle Illustration: