Hub Group Resistance Ahead?

Published on Wednesday, 18 January 2012 05:56 Written by Danny Miller

New York, January 18th (TradersHuddle.com) - Shares of Hub Group, Inc. (NASDAQ:HUBG) closed the trading session at $33.12 near its 200 day moving average currently set at $33.69. Hub Group's 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.

Hub Group, Inc. (NASDAQ:HUBG) is a full-service transportation provider, offering intermodal, truck brokerage, and logistics services. The company contracts with railroads to provide transportation for the long-haul portion of the shipment, and with local trucking companies for pickup and delivery. Its truck brokerage operations provide customers with specialized programs, including the Dedicated Trucking program. The company offers various transportation management services and technology solutions, including shipment optimization, load consolidation, mode selection and carrier management.

Latest price action range, defined by a peaks and troughs algorithm places calculated support at $31.96 and calculated resistance at $34.04. These levels are being closely watched by traders, as they provide great reference points for the latest price dynamics in Hub Group shares.

Traders should evaluate their trade if they want to establish a position on Hub Group 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.