Can Madden NFL 10 help Electronic Arts?

On to the question of whether these developments will or won't help the stock. On a monthly basis, ERTS is struggling. The stock is waging war with the $20 region, which has capped rally attempts in the past. This level acted as support in the past, which could strengthen its resolve as it acts as resistance. The big problem is the fact that ERTS's 10-month moving average is dropping into the picture, tracking the stock like a linebacker running down an unsuspecting quarterback. Since the beginning of 2008, shares of the gaming firm have managed to close atop their 10-month and 20-month moving averages just twice. This resistance is rather stout, and could thwart any rally attempt.

That said, what about the boost that sales of Madden NFL 10 could give ERTS? The stock could enjoy some support from its rising 10-week moving average, which could combine with a boost in sales to help propel the shares higher. However, the key equation is sales, and the current economic environment doesn't lead to dropping $50 for a game. Nevertheless, sales should be solid as always, simply based on the fact that this is the latest installment of the Madden games. As the game improves, sales may as well - which could certainly help ERTS.

Keep an eye out next week, as ERTS is slated to report quarterly earnings on May 5. The good news is that ERTS has performed well in the earnings confessional - it this performance continues, shares of ERTS could enjoy a bit of a boost.