Today on European markets, travel firms and retailers are leading gains, with optimism around potential re-openings. During yesterday’s US trading session, we also took at a look at leisure firms (including Royal Carribean Cruises), with the price action and structure firm amidst sentiment. In a related sector, the Walt Disney Co (DIS) has been a trading sideways since it’s recent earnings release however yesterday’s candle formation is signaling potential for move higher. In addition, the trading range has contracted while the price is rebounding off it’s rising 200-day moving average.
For the trade to trigger, we would like to see a close above $183.22, combined with a positive day (higher close than previous day) as well as a breach of the symmetrical triangle formation.
These are my provisional levels:
Buy on a close above $183.22
Last Close: $181.30