Cognizant Technology Solutions near Key Support Area

Published on Friday, 27 August 2010 08:28 Written by Danny Miller

New York, August 27th (TradersHuddle.com) - Shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH) are trading very close to calculated support at $57.27 with current price action closing at just $57.52 places the stock price near levels where traders will start paying attention.

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) provides custom Information Technology (IT) consulting and technology services as well as outsourcing services. The Company focus in technology strategy consulting, complex systems development, and enterprise software package implementation.

Cognizant's current stock range is defined by current calculated support defined at $57.27 and by the resistance level at $60.75, which should be used by traders planning their trades.

Traders wanting to establish a position should place close attention to Cognizant'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 $60.75 might limit their upside, however if the stock breaks resistance, it could be a good point to add to the position.