SanDisk Is Close to Resistance
Published on Tuesday, 12 June 2012 09:00 Written by TradersHuddle Wire
New York, June 12th (TradersHuddle.com) - Shares of SanDisk Corporation (NASDAQ:SNDK) are trading very close to calculated resistance at $36.31. The stock ended the trading session at just $34.62, which is near levels that make it difficult to buy or start a position.
SanDisk Corporation (NASDAQ:SNDK) supplies flash data storage products. The Company designs, manufactures, and markets industry-standard, solid-state data, digital imaging, and audio storage products using its patented, high-density flash memory and controller technology.
SanDisk's stock range is defined by its calculated support defined at $30.99 and by the resistance level at $36.31; the stock is clearly over-extended from support, making it harder for participants to establish fresh longs.
Traders don't have a clear entry point for SanDisk. However, as the stock pulls back towards $30.99 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $36.31 then traders will get an opportunity to enter the stock as it moves to a higher range.