Disney – Broadening Formation

By | March 31, 2015

Shares of the Walt Disney Company (DIS) have been moving higher over the last two months in a broadening formation, even as the MacD indicator has been in bearish divergence and with Chaikin Money Flow reflecting distribution. As long as the stock price holds above the rising support line and the 50 day moving average, it remains on trend and the indicators will readjust over time. A break below this layered support, however, and a move back down to fill the February gap becomes a distinct possibility.

3331DISchart

Leave a Reply