US Airways near Key Resistance Area

Published on Wednesday, 01 February 2012 05:40 Written by Danny Miller

New York, February 1st (TradersHuddle.com) - Shares of US Airways Group, Inc. (NYSE:LCC) are trading very close to calculated resistance at $8.79 with the current price action closing at just $8.44 placing the stock near levels that make it difficult to buy.

US Airways Group, Inc. (NYSE:LCC) is an air carrier that transports passengers, property, and mail. The Company provides regularly scheduled service at airports in the United States, Canada, Europe, the Caribbean, and Latin America. The airline operates with major hubs in Phoenix, Charlotte and Philadelphia.

US Airways' current stock range is defined by current calculated support defined at $4.97 and by the resistance level at $8.79, the stock is clearly over-extended from support, making it difficult to establishing new long positions at this level.

Traders don't have a clear entry point for US Airways, as the stock is well above support, however, as the stock pulls back towards $4.97 it will definitely provide a reference point to establish a trade. On the other hand if the stock decides to break above resistance level at $8.79 then traders will get an opportunity to enter US Airways stock by establishing a position as the stock moves to a higher range.