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DTE Energy Co (NYSE: DTE) Reaches Critical Level

|Includes:DTE Energy Company (DTE)

December 10, 2009

Shares of DTE Energy Co (NYSE: DTE) declined 56% from early 2007 until bottoming in early 2009. Since then it has regained 62% of its losses in a strong rally.

That is where the concern comes in. DTE reached the 61.8% retracement resistance level, at $42.73, intra-day on December 9 before pulling back. This is a critical resistance level that often results in selling once reached.

DTE is also just below its 2008 bear market rally highs at $44.24 a share, another resistance level that will be a test for the current rally.

Traders should be aware that a reversal from these levels could lead to a substantial correction in coming weeks.

On the flip side, if DTE manages to close above $44.24 a share, traders can expect to see further gains and a possible test of its 2007 highs above $52 a share.

The http://www.fibtimer.com Stock Strategy does not have a position in DTE Energy.



Disclosure: The www.fibtimer.com Stock Strategy does not have a position in DTE Energy.
Stocks: DTE