Reliance Steel & Aluminum near Resistance

New York, January 26th （TradersHuddle.com） - Shares of Reliance Steel & Aluminum Co. （NYSE:RS） are trading very close to calculated resistance at $54.74 with the current price action closing at just $53.79 placing the stock near levels that make it difficult to buy.

Reliance Steel & Aluminum Co. （NYSE:RS） is a dristributor and metal processing services provider. The company processes steel and aluminum. Its products include carbon, alloy, stainless and specialty steel, aluminum, brass, and copper. Reliance operates processing and distribution centers throughout the United States.

Reliance's current stock range is defined by current calculated support defined at $50.47 and by the resistance level at $54.74, the stock is clearly over-extended from support, making it difficult to establishing new long positions at this level.

Traders don't have a clear entry point for Reliance Steel & Aluminum, as the stock is well above support, however, as the stock pulls back towards $50.47 it will definitely provide a reference point to establish a trade. On the other hand if the stock decides to break above resistance level at $54.74 then traders will get an opportunity to enter Reliance Steel & Aluminum stock by establishing a position as the stock moves to a higher range.