Trading Idea: - Is Valero close to Resistance?

New York, January 8th (TradersHuddle.com) - Shares of Valero Energy Corporation (NYSE:VLO) are trading very close to calculated resistance at $35.66. The stock ended the trading session at just $34.35, which is near levels that make it difficult to buy or start a position.

Valero Energy Corporation (NYSE:VLO) is an independent petroleum refining and marketing company that owns and operates refineries in the United States, Canada, and Aruba. The Company produces conventional gasolines, distillates, jet fuel, asphalt, and a series of petrochemicals and lubricants.

Valero's stock range is defined by its calculated support defined at $28.56 and by the resistance level at $35.66; 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 Valero. However, as the stock pulls back towards $28.56 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $35.66 then traders will get an opportunity to enter the stock as it moves to a higher range.

Technical Scans

Stock Market

Loading
Chart
o Dow Jones 16,083.80 ▼290.96 (-1.78%)
o S&P 500 1,919.31 ▼31.82 (-1.63%)
o NASDAQ 4,679.23 ▼54.27 (-1.15%)
INDEXDJX:.DJI

Dow Jones

Company ID [INDEXDJX:.DJI] Last trade:16,083.80 Trade time:12:32PM EDT Value change:▼290.96 (-1.78%)
INDEXSP:.INX

S&P 500

Company ID [INDEXSP:.INX] Last trade:1,919.31 Trade time:12:32PM EDT Value change:▼31.82 (-1.63%)
INDEXNASDAQ:.IXIC

NASDAQ

Company ID [INDEXNASDAQ:.IXIC] Last trade:4,679.23 Trade time:12:32PM EDT Value change:▼54.27 (-1.15%)

In The Wires

Copyright © 2013 TradersHuddle.com. All Rights Reserved.