Archer Daniels Midland Between the 50 and 200Day

Published on Wednesday, 10 March 2010 20:20 Written by TradersHuddle Staff

New York, March 10th (TradersHuddle.com) - Shares of Archer Daniels Midland Company (NYSE:ADM) closed the trading session at $30.24 near its 50 day and 200 day moving averages currently set at $30.39 and $29.56 respectively. Archer Daniels Midland's price action is above the 200 day moving average but below its 50 day moving average, signaling a possible break out.

Archer Daniels Midland Company (NYSE:ADM) procures, transports, stores, processes, and merchandises agricultural commodities and products. The Company processes oilseeds, corn, milo, oats, barley, peanuts, and wheat.

A tiered approach to enter the stock, appears to be the best way to maximize possible movements from the stock, as traders could enter Archer Daniels Midland with a small position and wait for the stock to break out above the 50 day moving average at $30.39, where traders could add to their position as momentum builds with the breakout. The flip side will be if support being referenced at the 200 day moving average set at $29.56 breaks it could mean further downside in the horizon for Archer Daniels Midland .