Washington Prime Group Stock Hits Wall Of Resistance

After a big move higher, Washington Prime Group Inc. WPG has stalled out at the $5.00 level.

There’s resistance at $5.00 because it was a support level. Levels that were support can convert into resistance.

This happens because some investors who bought at $5.00 regret their decision. With the shares lower, they're losing money. Many decide to sell but they're reluctant to take a loss.

As a result, they place their sell orders at their buy price. This creates resistance like it has here at $5.00.