Amgen near Resistance

Published on Monday, 06 February 2012 07:40 Written by Danny Miller

New York, February 6th (TradersHuddle.com) - Shares of Amgen Inc. (NASDAQ:AMGN) are trading very close to calculated resistance at $69.63 with the current price action closing at just $69.28 placing the stock near levels that make it difficult to buy.

Amgen Inc. (NASDAQ:AMGN) develops, manufactures, and markets human therapeutics based on cellular and molecular biology. The company concentrates on the areas of hematology, cancer, infectious disease, endocrinology, neurobiology, and inflammation.

Amgen's current stock range is defined by current calculated support defined at $56.00 and by the resistance level at $69.63, 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 Amgen, as the stock is well above support, however, as the stock pulls back towards $56.00 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 $69.63 then traders will get an opportunity to enter Amgen stock by establishing a position as the stock moves to a higher range.