MasTec Close to Resistance

Published on Wednesday, 25 August 2010 19:32 Written by Christian Paolinetti

New York, August 25th (TradersHuddle.com) - Shares of MasTec Inc. (NYSE:MTZ) are trading very close to calculated resistance at $10.33 with the current price action closing at just $10.00 placing the stock near levels that make it difficult to buy.

MasTec Inc. (NYSE:MTZ), is a specialty contractor operating across a range of industries. The Companys activities are the building, installation, maintenance and upgrade of utility and communications infrastructure, including electrical utility transmission and distribution, windfarms, solar farms, other renewable energy and natural gas infrastructure, wireless, and wireline.

MasTec's current stock range is defined by current calculated support defined at $9.34 and by the resistance level at $10.33, the stock is clearly over-extended from support, making it difficult to establishing new long positions at this level.

Traders don't have a clear entry point for MasTec, as the stock is well above support, however, as the stock pulls back towards $9.34 it will definitely provide a reference point to establish a trade. On the other hand if the stock decides to break above resistance level at $10.33 then traders will get an opportunity to enter MasTec stock by establishing a position as the stock moves to a higher range.