Accenture Close to Important Price Levels

Published on Wednesday, 08 February 2012 06:36 Written by TradersHuddle Wire

New York, February 8th (TradersHuddle.com) - Shares of Accenture PLC (NYSE:ACN) closed the trading session at $57.96 near its 50 day and 200 day moving averages currently set at $55.48 and $56.08 respectively. Accenture's price action is above these important levels, which could translate into a trading opportunity.

Accenture PLC (NYSE:ACN) provides management and technology consulting services and solutions. The Company delivers a range of specialized capabilities and solutions to clients across all industries on a worldwide basis.

Although the price action is above important moving averages, it's important to highlight that the 50 day moving average is currently below the 200 day moving average resulting in not a prime setup where buying the dip will present a good trading opportunity.

Looking at peaks and troughs horizontal support and resistance levels, we can see current calculated support at $51.08 and calculated resistance at $57.41. These levels should also be evaluated by traders when planning their trades, as they provide an insight into the latest price action.

If traders want to establish a position on Accenture, should evaluate their trade, as it will certainly be better to wait, given that the stock is technically broken with the 50 day moving average trading below the 200 day moving average. Traders can also look at the current range defined by the peaks and troughs see where the current price action of stock is and establish a short trade versus those levels.