Approaching Support- Valero

Published on Tuesday, 24 August 2010 05:56 Written by Christian Paolinetti

New York, August 24th (TradersHuddle.com) - Shares of Valero Energy Corporation (NYSE:VLO) are trading very close to calculated support at $16.29 with current price action closing at just $16.37 places the stock price near levels where traders will start paying attention.

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 current stock range is defined by current calculated support defined at $16.29 and by the resistance level at $18.39, which should be used by traders planning their trades.

Traders wanting to establish a position should place close attention to Valero's price action, and establish a position as close to support as possible, but only after buying materializes. Traders should understand that the resistance point at $18.39 might limit their upside, however if the stock breaks resistance, it could be a good point to add to the position.