Near Key Levels - Chevron

Published on Wednesday, 25 August 2010 05:08 Written by TradersHuddle Staff

New York, August 25th (TradersHuddle.com) - Shares of Chevron Corp. (NYSE:CVX) closed the trading session at $73.78 near its 50 day and 200 day moving averages currently set at $74.08 and $75.85 respectively. Chevron's price action is below these important levels, which makes the stock difficult to buy, as there will certainly be resistance as it approaches these important moving averages.

Chevron Corporation is an integrated energy company with operations in countries located around the world. The Company produces and transports crude oil and natural gas. Chevron also refines, markets, and distributes fuels as well as is involved in chemical operations, mining operations, power generation and energy services. Chevron, the second largest U.S. energy producer and formerly known as ChevronTexaco, was founded in 1879 and its based in San Ramon, CA.

Latest price action range, defined by a peaks and troughs algorithm placed calculated support at $66.83 and calculated resistance at $79.19. These levels should be watched by traders, as they provide insight into the latest price dynamics in Chevron shares.

Traders should evaluate their options if they want to establish a position on Chevron given the heavy resistance expected near the 50 and 200 day moving averages. A trade might be evident as the stock manages to break these moving averages, however until the break materializes buying the stock is nothing different than flipping a coin. Other levels that traders will closely evaluate are the ones defined by the peak and troughs algorithm that provides great price level reference points.