Regions Financial Close to Resistance

Published on Tuesday, 07 February 2012 05:24 Written by TradersHuddle Wire

New York, February 7th (TradersHuddle.com) - Shares of Regions Financial Corporation (NYSE:RF) are trading very close to calculated resistance at $5.68 with the current price action closing at just $5.59 placing the stock near levels that make it difficult to buy.

Regions Financial Corporation (NYSE:RF) is a regional multi-bank holding company. The Company provides mortgage banking, leasing, commercial accounts receivable factoring, specialty mortgage financing, and securities brokerage services. Regions provides banking services throughout the South, Midwest, and Eastern United States.

Regions Financial's current stock range is defined by current calculated support defined at $4.53 and by the resistance level at $5.68, 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 Regions Financial, as the stock is well above support, however, as the stock pulls back towards $4.53 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 $5.68 then traders will get an opportunity to enter Regions Financial stock by establishing a position as the stock moves to a higher range.