After Yesterday's Rally of 1.84%, Arch Capital Shares Could Pullback (ACGL)

Arch Capital (NASDAQ:ACGL) traded in a range yesterday that spanned from a low of $77.44 to a high of $79.36. Yesterday, the shares gained 1.84%, which took the trading range above the 3-day high of $78.69 on volume of 259,000 shares.

Shares of Arch Capital are currently trading above their 50-day moving average (MA) of $77.23 and above their 200-day MA of $73.90. Look for these MAs to provide support for a short-term pullback in the shares.

SmarTrend is bullish on shares of Arch Capital and our subscribers were alerted to Buy on June 17, 2010 at $76.89. The stock has risen 3% since the alert was issued.

SmarTrend has the shares in an Uptrend and expects the share price to pullback toward the $78.69 support level. Afterwards, we expect it to move upward with its peers in the SmarTrend Multi-Line Insurance industry.