DISNEY EARNINGS TUESDAY-MARKET LOOKING BULLISH
Walt Disney is scheduled to report its Earnings after market close on Tuesday. Its EPS for the previous quarter was $1.84 and was above market expectation. It constitutes 3.03% of DJIA. The DJIA constituent ended last week in the green. This was its 4th straight week of gains. It has added 10% in the four weeks .It was its longest winning streak in nearly 3 years.
In recent development, Britain’s takeover regulator said on last Friday that a review had confirmed its ruling that Walt Disney might have to offer at least 14 pounds a share to buy UK pay-television group Sky. Disney would only be forced to make such an offer if it completes a deal to buy Twenty-First Century Fox’s TV and film assets, which include a 39 percent stake in Sky, before either Fox or rival suitor Comcast have managed to take control of the British broadcaster.
On the technical front, the RSI is currently at 66.16% and suggests that the market may move in the upward direction. The %K has crossed the %D from below to the upside at 72.01% and suggests that the market may move in the upward direction. The current market price is above the upper band of the Bollinger bands and is currently heading upwards. Overall market sentiment is positive.
TRADE SUGGESTION- BUY AT 114.40 TAKE PROFIT AT 116.90 STOP LOSS AT 113.15