Merck Close to the 50 Day

Published on Wednesday, 17 March 2010 07:28 Written by Christopher Lynn

New York, March 17th (TradersHuddle.com) - Shares of Merck & Co. Inc. (NYSE:MRK) closed the trading day at $37.94 very close to its 50 day moving average currently set at $37.77. Merck's price action is just above this important support level translating into a trading opportunity.

Merck & Co., Inc. (NYSE:MRK), the global pharmaceutical company that develops, manufactures, and markets a broad range of human and animal health products. Merck's products include Zocor for treatment of elevated cholesterol, Propecia for treatment for male pattern hair loss, Fosamax for preventive treatment of osteoporosis, and Singulair for treatment of asthma. Merck was founded in 1891 and is headquartered in Whitehouse Station, New Jersey.

Looking at peaks and troughs horizontal support and resistance levels, we can see current calculated support at $36.05 and calculated resistance at $38.18. These levels should also be evaluated by traders when planning their trades, as they provide an insight into the latest price action.

Traders wanting to establish a position on Merck will be looking at the price action for evidence of buying near the 50 day moving average, and opening a position as close as possible to this important level. Also traders will be looking at the latest price action, via the stocks current range previously defined for insights of other ley levels that might affect their upside or downside.