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Disney (DIS) Jumps But Has Resistance In Front

Disney $DIS shares jumped up on Friday (11/10). Despite reporting lower than expected earnings, the market quickly shook off the bad news and focused on announcements, such as more Star Wars movies in the pipeline and streaming service to compete with Netflix

DIS Daily Chart

(click to enlarge)

Falling Channel:
- Disney has been since hitting 116 in April.
- Price retreated to a low of 96.20 before it formed a price bottom and rallied.
- Last week, price surged, but is hitting a key resistance in the 104.50-106 area. 
- This area involves the 200-day simple moving average and a channel resistance.
- Meanwhile the RSI is above 70, showing overbought condition.
- I think it will take a break above 106 to convince the market DIS is turning around the 2017 bear run.
- Also a test and confirmation of support around 100 would also help with the bullish outlook.
- Meanwhile, the daily RSI should start holding above 40 in the bullish scenario.