Harley-Davidson Is Near a Key Resistance Area

Published on Thursday, 05 July 2012 07:28 Written by TradersHuddle Wire

New York, July 5th (TradersHuddle.com) - Shares of Harley-Davidson, Inc. (NYSE:HOG) are trading very close to calculated resistance at $46.66. The stock ended the trading session at just $46.47, which is near levels that make it difficult to buy or start a position.

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 stock range is defined by its calculated support defined at $43.79 and by the resistance level at $46.66; 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 Harley-Davidson. However, as the stock pulls back towards $43.79 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $46.66 then traders will get an opportunity to enter the stock as it moves to a higher range.