Are the Bears Taking Control over Domino's Pizza?
Published on Tuesday, 12 February 2013 22:03 Written by TradersHuddle Wire
New York, February 12th (TradersHuddle.com) - Shares of Domino's Pizza, Inc. (NYSE:DPZ) ended the trading session lower by $0.27 or -0.58% from its previous close. Domino's price action formed what is considered to be a bearish engulfing candlestick chart pattern.
Domino's Pizza, Inc. (NYSE:DPZ) operates a network of Company-owned and franchise Domino's Pizza stores, located throughout the U.S. and other countries. The Company also operates regional dough manufacturing and distribution centers in the U.S. and internationally.
Domino's current stock range is determined by calculated support defined at $40.30 and by the resistance level at $47.91, which should be used by traders planning their next move.
If traders want to establish a position in Domino's Pizza, 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 Domino's Pizza for indications of a trend reversal. Below an Engulfing Bearish Candle Illustration: