Protective Life Close to Resistance

Published on Thursday, 02 February 2012 05:36 Written by Danny Miller

New York, February 2nd (TradersHuddle.com) - Shares of Protective Life Corporation (NYSE:PL) are trading very close to calculated resistance at $25.94 with the current price action closing at just $25.53 placing the stock near levels that make it difficult to buy.

Protective Life Corporation (NYSE:PL) provides financial services through the production, distribution, and administration of insurance and investment products. The Company markets individual life insurance, credit life and disability insurance, guaranteed investment contracts, guaranteed funding agreements, and annuities.

Protective Life's current stock range is defined by current calculated support defined at $24.22 and by the resistance level at $25.94, 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 Protective Life, as the stock is well above support, however, as the stock pulls back towards $24.22 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 $25.94 then traders will get an opportunity to enter Protective Life stock by establishing a position as the stock moves to a higher range.