Reference Points for IMAX

Published on Wednesday, 11 January 2012 09:20 Written by TradersHuddle Staff

New York, January 11th (TradersHuddle.com) - Shares of Imax Corporation (NASDAQ:IMAX) closed the trading day at $20.25 close to its 50 day moving average currently set at $19.35. IMAX's price action is just above this important support level translating into a trading opportunity.

Imax Corporation (NASDAQ:IMAX) specializes in motion picture technologies and large-format film presentations. The company designs and manufactures projection and sound systems for large-screen theaters and designs custom attractions, including motion simulation theaters, for both large-scale attractions and smaller venues.

Looking at peaks and troughs horizontal support and resistance levels, we can see current calculated support at $17.44 and calculated resistance at $19.45. 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 IMAX 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 key levels that might affect their upside or downside.