How to Play the Building Momentum in Rowan Companies
Published on Wednesday, 11 July 2012 08:32 Written by TradersHuddle Wire
New York, July 11th (TradersHuddle.com) - Shares of Rowan Companies, Inc. (NYSE:RDC) closed the trading session at $32.78 with its price action in a very tight range, given that calculated support is set at $32.28 and the calculated resistance is set at $33.99.
Rowan Companies, Inc. (NYSE:RDC) provides contract drilling services. The Company also owns and operates a manufacturing division that produces equipment for the drilling, mining and timber industries.
Rowan's stock price action indicates that both sellers and buyers are materializing very close to each other. This signals an area where momentum is building, since the stock can resolve by breaking out of the developing tight range.
Traders wanting to establish a position should pay close attention to Rowan's price action, as any movement outside its predefined range of $32.28 and $33.99 could grasp the attention of momentum buyers that look for a big movement in the price of the stock. Traders need to be aware that tight range resolution works both ways, hence, a move below support could spark above the average selling. A tiered approach could be the best way to start a position; enter into it while the stock is in the tight range, and then add to this position as it breaks and closes above resistance.
- Rowan Companies Is Near to the 50 and 200 Day Moving Averages
- Is Rowan Companies Ready for a Break Out?
- Is Rowan Companies Expecting Resistance?
- Rowan Companies near Support
- Rowan Companies Is in a Well Structured Setup
- Near Key Levels: Rowan Companies
- Rowan Companies Is Close to Important Price Levels
- Rowan Appoints Tore I. Sandvold as New Director
- Critical Alerts For Citigroup, Time Warner Cable, Rowan, Stratasys, and The Medicines Company Released By InvestorsObserver
- Trading Idea: Key levels for Rowan Companies
Related Partner Headlines
- UPDATE: Dahlman Rose Downgrades Rowan Companies to Hold - Benzinga
- Stocks With a One-Two Punch - TheStreet.com
- Rowan Companies PLC (RDC): Today's Featured Energy Winner - TheStreet.com
- UPDATE: Global Hunter Securities Downgrades Rowan Companies to Neutral, Lowers PT - Benzinga
- UPDATE: Goldman Sachs Lowers PT on Rowan Companies from $42 to $39 - Benzinga
- Rowan Companies PLC Stock Upgraded (RDC) - TheStreet.com
- UPDATE: Deutsche Bank Reduces PT to $42, Reiterates Buy on Rowan Companies; One-Off Events Behind - Benzinga
- Rowan, Tenet: S&P Gainers - TheStreet.com
- Rowan: S&P Intraday Gainer - TheStreet.com
- UPDATE: Citi Raises Price Target on Rowan Companies to $37 - Benzinga
Latest Partner Headlines
Dow Today: Verizon Communications (VZ) Higher - TheStreet.com
Separating the Bargains From the Busts - TheStreet.com
Cramer Quick Take: The 60-Inch TV Will Be Key This Holiday - TheStreet.com
Cramer Quick Take: Cisco Wins If Fiscal Cliff Is Resolved - TheStreet.com
Gap Up and Sit - TheStreet.com
Apple, Intel, MicroStrategy: Tech Winners & Losers - TheStreet.com
Windows 8 PC Sales Disappointing: Report - TheStreet.com
Cramer Quick Take: Buy Home Depot and Lowe's - TheStreet.com
Dow JonesCompany ID [INDEXDJX:.DJI] Last trade:15,112.19 Trade time:4:52PM EDT Value change:▼206.04 (-1.35%)
S&P 500Company ID [INDEXSP:.INX] Last trade:1,628.93 Trade time:4:52PM EDT Value change:▼22.88 (-1.39%)
NASDAQCompany ID [INDEXNASDAQ:.IXIC] Last trade:3,443.20 Trade time:5:15PM EDT Value change:▼38.98 (-1.12%)
In The Wires
Veris Gold Corp. announces appointments
Hawaiian Electric seeks to speed up development of low-cost renewable energy for Oahu
Truett-Hurst, Inc. Announces Pricing Of Initial Public Offering
Gothic Thriller "Hemlock Grove" Back On Netflix For A Second Season
Enerplus Announces Investor Day Webcast Details
Morguard Sunstone Real Estate Income Fund Liquidation and Payment Schedule
Race Across America Powered By Trane Speeds Through Indiana
Lender Processing Services, Inc. Announces an Adjustment to the Consideration Mix in Its Acquisition by Fidelity National Financial, Inc.