Patience with Dean Foods

Published on Tuesday, 15 November 2011 07:56 Written by Christopher Lynn

New York, November 15th (TradersHuddle.com) - Shares of Dean Foods Company (NYSE:DF) closed the trading session at $9.98 near its 200 day moving average currently set at $10.46. Dean Foods' price action is below this important level, which makes the stock difficult to buy, as there will certainly be resistance as it approaches its 200 day moving average.

Dean Foods Company (NYSE:DF) is a food and beverage company that produces dairy and dairy-related products. The Company provides products such as milk and milk-based beverages, ice cream, half and half, whipping cream, sour cream, cottage cheese, yogurt, dips, and soy milk.

Latest price action range, defined by a peaks and troughs algorithm places calculated support at $9.69 and calculated resistance at $10.62. These levels are being closely watched by traders, as they provide great reference points for the latest price dynamics in Dean Foods shares.

Traders should evaluate their trade if they want to establish a position on Dean Foods given the resistance could materialize as the stock approaches the 200 day moving average. A trade might materialize as the stock manages to break this important level, as it could be used as support going forward, however until the break materializes, traders need to exercise patience. Other levels that traders will be evaluating are the ones defined by the peak and troughs algorithm that provides great price action reference points.