Belden Setting for a Break?

Published on Thursday, 02 September 2010 08:44 Written by TradersHuddle Staff

New York, September 2nd (TradersHuddle.com) - Shares of Belden Inc. (NYSE:BDC) closed the trading session at $23.60 near its 50 day and 200 day moving averages currently set at $23.74 and $24.57 respectively. Belden'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.

Belden Inc. (NYSE:BDC) manufactures and markets specialty wire, cable and cord products for the electronics and electrical markets. The company provides signal transmission solutions for a wide range of markets, including data networking, industrial automation, professional audio and video, security and surveillance, aerospace and many other specialty electronics markets.

Latest price action range, defined by a peaks and troughs algorithm placed calculated support at $21.53 and calculated resistance at $22.89. These levels should be watched by traders, as they provide insight into the latest price dynamics in Belden shares.

Traders should evaluate their options if they want to establish a position on Belden 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.