Trading Idea: - Is Accenture close to Resistance?

Published on Tuesday, 05 March 2013 08:56 Written by TradersHuddle Wire

New York, March 5th (TradersHuddle.com) - Shares of Accenture PLC (NYSE:ACN) are trading very close to calculated resistance at $75.97. The stock ended the trading session at just $75.24, which is near levels that make it difficult to buy or start a position.

Accenture PLC (NYSE:ACN) provides management and technology consulting services and solutions. The Company delivers a range of specialized capabilities and solutions to clients across all industries on a worldwide basis.

Accenture's stock range is defined by its calculated support defined at $65.20 and by the resistance level at $75.97; 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 Accenture. However, as the stock pulls back towards $65.20 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $75.97 then traders will get an opportunity to enter the stock as it moves to a higher range.