Target Is Moving Above Resistance

Published on Wednesday, 06 February 2013 07:20 Written by TradersHuddle Wire

New York, February 6th (TradersHuddle.com) - Shares of Target Corporation (NYSE:TGT) closed the session at $62.40 just above calculated resistance at $61.44. The stock moved to what appears to be a higher range, spurring attention from momentum buyers.

Target Corporation (NYSE:TGT) operates general merchandise discount stores in the United States. The Minneapolis, Minnesota company operates general merchandise and food discount stores and a fully integrated online business.

The stock was trading in a well defined range with support at $58.01 and resistance at $61.44. Given that this range was broken, traders will be closely monitoring Target's price action to gather clues on the future direction.

From a technical perspective, it can be expected that previous resistance becomes support, as the new range gets defined. However, given that Target is still near the broken resistance level, traders will be focusing on the $61.44 level to see if the stock holds the breakout without rolling over.