Harley-Davidson Closing in to Resistance

Published on Tuesday, 07 February 2012 07:48 Written by TradersHuddle Wire

New York, February 7th (TradersHuddle.com) - Shares of Harley-Davidson, Inc. (NYSE:HOG) are trading very close to calculated resistance at $46.18 with the current price action closing at just $45.32 placing the stock near levels that make it difficult to buy.

Harley-Davidson, Inc. (NYSE:HOG) manufactures and sells motorcycles. Its products include heavyweight touring, custom, and performance motorcycles, as well as a line of motorcycle parts, accessories, and general merchandise.

Harley-Davidson's current stock range is defined by current calculated support defined at $36.06 and by the resistance level at $46.18, 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 Harley-Davidson, as the stock is well above support, however, as the stock pulls back towards $36.06 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 $46.18 then traders will get an opportunity to enter Harley-Davidson stock by establishing a position as the stock moves to a higher range.