Technical Summary: There is nothing much to get excited about for trend traders on the SKC chart. But the stock provides a lot of action for mean reversion traders. Over the last 5 years the stock has exhibited clear areas of support and resistance. Traders can attempt to buy at areas of support and sell at areas of resistance. While investors may prefer to wait for areas of support before entering a position. Losses can be cut if there is any meaningful break of support. Before entering a mean reversion trade we always like to see the stock turn away from its support. Based on this logic shares of SKC are buyable at this juncture. There is not much to do in the no man’s land between support and resistance. If you have an established buy at support then you wait until the stock hits resistance before selling. Otherwise it is a waiting game.
