Disney – Preparing to Make-Up Ground

By | February 25, 2016

A rally in Disney (DIS) shares would go a long way in confirming the recent broader market advance. The stock has been under pressure but consolidating in an inverse head and shoulders formation under $97.50 neckline resistance.

99988.DISchart

A break above that resistance which is intersecting with the downtrend line drawn off the November and December highs and the 50 day moving average, could power Disney back above its 200 day moving average. The stock is back in upper Bollinger band range for the first time since it made its November high, moving average convergence/divergence has made a bullish crossover, and the accumulation distribution line is well above its 21 period signal average.

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