Tesoro Corporation (TSO) had had a solid few months. The stock is trading in an uptrend channel, and continually making new all time highs. Tuesday, TSO tested 100 unsuccessfully. This price level is a big deal for stocks, and can either cause quick reversals or quick jumps to the upside.

Note the volume on the recent action. Volume has been solid as the stock has risen to new highs, indicating the market is confident in the stocks upside price action. Overall, TSO looks ripe for a long position, but I would like to see a break and close above the 100 psychological barrier before entering considering the significance of the price level.



Andy Swan is co-founder and head trader for DaytradeTeam.com. To get all of Andy's day trading, swing trading, and options trading alerts in real time, subscribe to a one-week, all-inclusive trial membership to DaytradeTeam by clicking here.