Trading Idea: - Is Harley-Davidson close to Resistance?
Published on Monday, 03 December 2012 08:28 Written by TradersHuddle Wire
New York, December 3rd (TradersHuddle.com) - Shares of Harley-Davidson, Inc. (NYSE:HOG) are trading very close to calculated resistance at $48.49. The stock ended the trading session at just $46.96, 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 $44.48 and by the resistance level at $48.49; 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 $44.48 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $48.49 then traders will get an opportunity to enter the stock as it moves to a higher range.