Quick Take Technical Analysis: Walt Disney Co

Walt Disney Co DIS gapped down 6.63% on Thursday morning after printing worse-than-expected quarterly adjusted earnings. Atlantic Equities downgraded the stock from Overweight to Neutral and lowered its price target from $219 to $172.

  • Intraday, Disney fell almost 3% lower and nearly filled a gap between $157.67 and $160.55, which may give bulls more confidence going forward.
  • The closest gap is now $163.87 and $173.87. Gaps on charts fill about 90% of the time so it's likely Disney will trade up into the range in the future.
  • There is also a lower gap between $128.66 and $133.86 that's likely to fill, although it could be quite some time before that happens.
  • Disney looked to be printing a bullish hammer candlestick on the daily, which demonstrates the dip below $161 was bought. A hammer candlestick is often found at the bottom of a downtrend and can indicate a reversal into an uptrend.
  • At 11:30 a.m. EST, Disney was printing an inside bar on the hourly chart. Traders can watch for the break of the pattern to gauge the next hourly direction. 
  • The stock has resistance above at $167.10 and $171.89 and support below at $160.90 and $153.88.

dis_nov._11.pngWant direct analysis? Find me in the BZ Pro lounge! Click here for a free trial.

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: Long IdeasShort IdeasTechnicalsTrading Ideas
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!