A Technical Look At IBM (As It Gets Closer And Closer To A Low)
This article is the opinion of Christian Tharp, CMT, author of 5 Star Trading.
International Business Machines Corp. (NYSE: IBM) provides information technology (IT) products and services worldwide.
The company was formerly known as Computing-Tabulating-Recording Co. and changed its name to International Business Machines Corporation in 1924. International Business Machines Corporation was founded in 1910 and is headquartered in Armonk, New York.
Take a look at the one-year chart of IBM with the added notations:
IBM had been trending sideways up until the stock’s large drop in October.
The stock then tried to hold the $160 support (green), but the $165 resistance (red) won the day and IBM took another leg lower in December. Over the last one to two months, the stock has been holding a 52-week low support at $150.
A break of that level could lead to much lower prices for IBM.
The Tale of the Tape: IBM has a key level of support at $150. A trader could enter a long position at $150 with a stop placed under the level.
If the stock were to break below the support, a short position could be entered instead.
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.
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