Exxon Is Near a Key Resistance Area

Published on Tuesday, 19 June 2012 07:24 Written by TradersHuddle Wire

New York, June 19th (TradersHuddle.com) - Shares of Exxon Mobil Corp. (NYSE:XOM) are trading very close to calculated resistance at $83.45. The stock ended the trading session at just $83.11, which is near levels that make it difficult to buy or start a position.

Exxon Mobil Corporation (NYSE:XOM) operates petroleum and petrochemicals businesses globally. The Company's operations include exploration and production of oil and gas, electric power generation, and coal and minerals operations. Exxon Mobil also manufactures and markets fuels, lubricants, and chemicals. The biggest U.S. energy producer was founded in 1870 and is based in Irving, TX.

Exxon's stock range is defined by its calculated support defined at $77.13 and by the resistance level at $83.45; 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 Exxon. However, as the stock pulls back towards $77.13 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $83.45 then traders will get an opportunity to enter the stock as it moves to a higher range.