200 Day Level, Key for Tyson Foods

Published on Wednesday, 25 August 2010 18:36 Written by Christopher Lynn

New York, August 25th (TradersHuddle.com) - Shares of Tyson Foods, Inc. (NYSE:TSN) closed the trading session at $16.19 near its 200 day moving average currently set at $16.33. Tyson's price action is below this important level, which makes the stock difficult to buy, as there will certainly be resistance as it approaches its 200 day moving average.

Tyson Foods, Inc.(NYSE:TSN) produces, distributes, and markets chicken, beef, pork, prepared foods and related allied products. The Company's products are marketed and sold to national and regional grocery retailers, regional grocery wholesalers, meat distributors, warehouse club stores, military commissaries, and industrial food processing companies.

Latest price action range, defined by a peaks and troughs algorithm places calculated support at $15.66 and calculated resistance at $16.80. These levels are being closely watched by traders, as they provide great reference points for the latest price dynamics in Tyson Foods shares.

Traders should evaluate their trade if they want to establish a position on Tyson Foods given the resistance expected as the stock approaches the 200 day moving average. A trade might materialize as the stock manages to break this important level, as it could be used as support going forward, however until the break materializes, traders need to exercise patience. Other levels that traders will be evaluating are the ones defined by the peak and troughs algorithm that provides great price action reference points.