Covance (CVD) Stock Example, Support and Resistance

The following stock chart of Covance (CVD) offers a great example of simple support and resistance. Support and Resistance is a basic form of technical analysis used commonly every day to mark potential buy and sell points on a chart.

Note: this chart of Covance (CVD) is a nine month daily stock chart:

cvd stock chart

1. The three 1s show us how CVD stock found resistance at $88 three times before finally breaking through. Participating in the break would have yielded an actual return of 10% in only seven days.

2. The four 2s show distinctly how $80 was a key support level for CVD. The stock held up at this price area several times over the course of five months before it finally broke to the upside above $88 a share.

3. The purple 3 shows us where the next resistance area currently is for CVD. Only time will tell if the stock will need another five month base to claim higher highs.

Further Education

Make $42 Million Trading Stocks! Learn technical analysis with Dan Zanger, World Record Holder who turned $15,000 into $42 million. Click here to learn how.

Join 17,000 Investors

Receive Daily Market Recaps directly in your email inbox!

Log, Store, and Analyze Your Trades

Whether you're a new or seasoned investor, the StockTradingToGo Trade Log helps you trade better:
  • Step 1 - Add trades
  • Step 2 - Mark strategies and mistakes
  • Step 3 - Analyze your results
  • Step 4 - Improve your trading
Get Started Now

Comments

Trackbacks