Is SAIC Closing in to Resistance?
Published on Monday, 22 April 2013 07:40 Written by TradersHuddle Wire
New York, April 22nd (TradersHuddle.com) - Shares of SAIC, Inc. (NYSE:SAI) are trading very close to calculated resistance at $14.16. The stock ended the trading session at just $14.09, which is near levels that make it difficult to buy or start a position.
SAIC, Inc. (NYSE:SAI) provides scientific, engineering, systems integration and technical services and solutions in such areas as national security, intelligence and homeland defense.
SAIC's stock range is defined by its calculated support defined at $11.20 and by the resistance level at $14.16; 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 SAIC. However, as the stock pulls back towards $11.20 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $14.16 then traders will get an opportunity to enter the stock as it moves to a higher range.