Shares of Check Point Software Technologies Ltd. (NASDAQ:CHKP) closed the trading session at $32.56 near its 50 day and 200 day moving averages currently set at $31.09 and $32.63 respectively. Check Point’s price action is above the 50 day moving average but below its 200 day moving average, which provide a nice trading setup, with clear reference points.
Check Point Software Technologies Ltd. (NASDAQ:CHKP) develops, markets and supports a range of software and hardware products and services for IT security and offers its customers a network and gateway security solutions, data and endpoint security solutions. The company is based in Tel Aviv, Israel.
Check Point Software price action seems to be setting up for a tight range between the 50 day moving average as support and the 200 day moving average serving as resistance.
A tiered approach to enter the stock, appears to be the best way to maximize possible movements from the stock, as traders could enter Check Point Software with a small position and wait for the stock to break out above the 200 day moving average at $32.63, where traders could add to their position as momentum builds with the breakout. The flip side will be if support being referenced at the 50 day moving average set at $31.09 breaks it could mean further downside in the horizon for Check Point Software.
Source:http://www.tradershuddle.com/Trading-Ideas/4962407162010-resistance-above-for-checkpointsoftware.html
