Wal-Mart Bullish Engulfing Formed

wmt New York, January 2nd (TradersHuddle.com) - Shares of Wal-Mart Stores, Inc. (NYSE:WMT) ended the trading session higher by $0.62 or 0.92% from its previous close. Wal-Mart's price action formed what is considered to be a bullish engulfing candle that could very well signal a continuation of trend or reversal of the ongoing weakness.

Wal-Mart Stores, Inc. (NYSE:WMT) operates discount stores, supercenters, warehouse membership clubs, and neighborhood markets. The Company's stores sale products like general merchandise, apparel, electronics and groceries. Wal-Mart operates the warehouse membership stores under the Sam's Club name, where the company sell assorted merchandise including its private label products. Wal-Mart was founded by Sam Walton in 1945 and is based in Bentonville, Arkansas.

Wal-Mart's recent stock range was formed by a trough where calculated support was defined at $68.74 and by a peak that established the resistance level at $72.60. This range could be used by traders managing their positions.

Traders wanting to establish a position in Wal-Mart or traders that are already holding the stock can use the bullish engulfing pattern to their advantage. The pattern provides a defined risk, as it shows where the bears were able to push the stock down, before the bulls step in with a bid.

The bullish engulfing pattern is a leading indicator that provides an alert to the bulls that the trend will continue or that there is an immediate reversal to the short-term weakness seen on the stock. Below an Engulfing Bullish Candle Illustration:

Note - Automated Content Created By TradersHuddle's Technical Scanner




Related Partner Headlines

    You could minimize risk by trading in stock sectors rather than individual stocks. Find out why ETFs are the hottest investment vehicle on the planet. Try ETF Profits for FREE NOW!

    TradersHuddle Search

    Stock Search:


    Site Search:

    Loading

    Technical Scans

    Recent Trading Ideas

    Latest Partner Headlines

    Stock Market

    Loading
    Chart
    o Dow Jones 16,374.92 ▲112.36 (0.69%)
    o S&P 500 1,855.16 ▲12.18 (0.66%)
    o NASDAQ 4,067.59 ▲33.43 (0.83%)
    INDEXDJX:.DJI

    Dow Jones

    Company ID [INDEXDJX:.DJI] Last trade:16,374.92 Trade time:12:50PM EDT Value change:▲112.36 (0.69%)
    INDEXSP:.INX

    S&P 500

    Company ID [INDEXSP:.INX] Last trade:1,855.16 Trade time:12:50PM EDT Value change:▲12.18 (0.66%)
    INDEXNASDAQ:.IXIC

    NASDAQ

    Company ID [INDEXNASDAQ:.IXIC] Last trade:4,067.59 Trade time:12:50PM EDT Value change:▲33.43 (0.83%)

    In The Wires

    Copyright © 2013 TradersHuddle.com. All Rights Reserved.