Jabil Circuit Moving Away from Resistance; Level 3 Near Resistance Level
New York, January 5th (TradersHuddle.com) – After stocks gained following encouraging jobs figures, which offset euro zone debt jitters, we identified the following trading ideas.
Shares of Jabil Circuit, Inc. (NYSE: JBL) closed the trading session at $20.76 just above calculated resistance at $20.20 moving to what appears to be a new range, as this move will clearly raise the attention of momentum buyers.
Jabil Circuit, Inc. (NYSE: JBL) is an electronic manufacturing services provider for international electronics companies in the communications, personal computer, peripheral, consumer, and automotive markets.
Jabil's stock was trading in a well-defined range with support at $18.79 and resistance at $20.20; given that this range was broken traders will be closely monitoring the stock.
Another trading idea is Level 3 Communications, Inc. (NASDAQ: LVLT). The provider of fiber-based communications services ended the session at $17.72, very near its calculated resistance at $17.73. Level 3's price action is just below the key resistance level, which make it difficult to buy.
Traders don't have a clear entry point for Level 3, as the stock is well above support, however, as the stock pulls back towards $16.51 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 $17.73 then traders will get an opportunity to enter Level 3 stock by establishing a position as the stock moves to a higher range.
Level 3 Communications, Inc. (NASDAQ: LVLT) provides fiber-based telecommunications and information services, including local, long distance, and data transmission. The Company also provides other enhanced communications and Internet services.
