Goldcorp near Key Resistance Area

Published on Tuesday, 07 February 2012 07:52 Written by TradersHuddle Wire

New York, February 7th (TradersHuddle.com) - Shares of Goldcorp, Inc. (NYSE:GG) are trading very close to calculated resistance at $49.78 with the current price action closing at just $47.52 placing the stock near levels that make it difficult to buy.

Goldcorp, Inc. (NYSE:GG) is a North American gold producer. The Company has gold mining operations in the United States, Canada, Mexico, Brazil, Argentina, and Australia. The company is headquartered in Vancouver, Canada.

Goldcorp's current stock range is defined by current calculated support defined at $43.97 and by the resistance level at $49.78, 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 Goldcorp , as the stock is well above support, however, as the stock pulls back towards $43.97 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 $49.78 then traders will get an opportunity to enter Goldcorp stock by establishing a position as the stock moves to a higher range.