Adobe Is Close to Resistance
Published on Monday, 18 February 2013 06:48 Written by TradersHuddle Wire
New York, February 18th (TradersHuddle.com) - Shares of Adobe Systems Incorporated (NASDAQ:ADBE) are trading very close to calculated resistance at $38.78. The stock ended the trading session at just $38.64, which is near levels that make it difficult to buy or start a position.
Adobe Systems Incorporated (NASDAQ:ADBE) develops, markets, and supports computer software products and technologies. The Company's products allow users to present and use information across all print and electronic media. Adobe offers a line of application software products, type products, and content for creating, distributing, and managing information. The company popular Acrobat Reader allows companies and consumers to exchange a wide variety of electronic information and documents.
Adobe's stock range is defined by its calculated support defined at $32.14 and by the resistance level at $38.78; 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 Adobe. However, as the stock pulls back towards $32.14 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $38.78 then traders will get an opportunity to enter the stock as it moves to a higher range.