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The Walt Disney Company (DIS/NYSE/S&P500)

Timeframe Intraday
Recommendation BUY STOP
Entry Point 108.55
Take Profit 109.00, 109.50, 109.75
Stop Loss 108.00
Key Levels 106.00, 107.00, 108.50, 110.00
Alternative scenario
Recommendation SELL STOP
Entry Point 107.90
Take Profit 107.00, 106.50
Stop Loss 108.50
Key Levels 106.00, 107.00, 108.50, 110.00
Industry: entertainment
Current trend
In Q2 2017 the revenue of The Walt Disney grew by 3% YoY up to $13.3 bln. Return per share made up $1.50 exceeding the expectations of The Wall Street analysts ($1.41).
Despite the growth of financial indicators above market expectations, the quotes of The Walt Disney dropped by 3.5% since May 9. The reason is the worries of the investors about the plans for the development of cable business that geneates 30% of The Walt Disney revenue. The quarter revenue of cable business dropped by 3% YoY due to the growth of costs. Moreover, the company continues to look for new ways of monetizing its sports entertainment content.
Comparing company's multiplier with its competitors, we can say that The Walt Disney's shares are neutral.
Key levels
Last week the emitter kept the key support level of 107.00 which cased further correction of the company's shares. Currently the trading instrument is testing the resistance level of 108.50. Indicators show the strength of the buyers: the price is above MA(50) and MA(200), and MACD histogram started to grow. Correction movement in #DIS may continue.                    
Support levels: 107.00, 106.00.
Resistance levels: 108.50, 110.00.   

Trading tips
If the price consolidates above the resistance level of 108.50, long positions may be opened. Stop-loss should be placed at 108.00. Potential profits can be locked in by installments at 109.00, 109.50, 109.75.
A downward tendency in the company's stock is also possible. If the price consolidates below the local support level of 108.00, one may consider selling #DIS. Stop-loss should be placed at 108.50. The target movement level will be 107.00-106.50. 
Trading tips will be relevant for 2-3 days.    

Από το Blogger.