DISCA breaks below 100-day moving average


Discovery Communications-A (DISCA) Technical Analysis Report for May 17, 2018 [1 min read]
Highlights
DISCA finds buyers around 22.80 for the third day in a row
DISCA dominated by bears dragging the market lower throughout the day
DISCA breaks below 100-day moving average
DISCA finds buyers at key support level
DISCA stuck within tight trading range
TQ Sentiment
Report Sentiment: 40% Bearish
Technical Forecast:
Overview

DISCA finished Thursday at 23.02 losing $0.67 (-2.83%). The bears were in full control today, moving the market lower throughout the whole session. Closing within the previous day's range, prices failed to decisively move past the prior day's trading range.

Daily chart for DISCA
Volatility

Thursday's trading range was $0.89 (3.76%), that's slightly above last trading month's daily average range of $0.83. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being slightly below average. Prices continued to consolidate within a tight trading range between 22.68 and 23.90 which it has been in now for the last three days.

Price Action

During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. Regardless of a strong opening the market closed below the prior day's open and close, forming a bearish Engulfing Candle. After moving higher in the previous session, the stock closed lower but above the prior day's open today, forming a bearish Harami Candle.

Support/Resistance

After trading as low as 22.80 during the day, the share bounced off the key support level at 22.92. The failure to close below the support might increase that levels importance as support going forward. Discovery found buyers again today around 22.80 for the third trading day in a row after having found demand at 22.68 in the previous session and at 22.83 two days ago.

Trend

While DISCA is experiencing a short-term up trend, this could just be a correction, as both the medium and long term trends are still in negative territory. The market broke below the 100-day moving average at 23.55 today for the first time since May 15th.

Order Flow

Selling might accelerate should prices move below the close-by swing low at 22.68 where further sell stops could get activated.

Conclusion

While classical technical analysis indicates a neutral sentiment for the next trading day, our quantitative statistics show a different picture being bearish.

Market Conditions for Discovery Communications-A
ConditionForecastDirectionWinAvgWorstBestEvents
Bearish Intraday Reversal TQ Pro Members Only
Close to Swing Low TQ Pro Members Only
High close to previous High TQ Pro Members Only
Close to S1 Support TQ Pro Members Only
4 Consecutive Lower Closes TQ Pro Members Only
More market conditions identified for TQ Pro members...
Learn more about TQ Pro
Trending Assets

Upgrade your trading!

Get the stats behind the charts

Find out what happened when Discovery Communications-A traded like this in the past. See the odds for each technical pattern with expected gain and loss.

Signup

Stocks Top Movers

ETHUSD 477.0528.70 6.40%
BTCUSD 6,712.49348.90 5.48%
NKY 22,697.36100.01 0.44%
NATGAS 2.7670.009 0.33%
EURUSD 1.17110.0025 0.21%
GBPUSD 1.3234-0.0002 -0.02%
USDJPY 112.29-0.07 -0.06%
GOLD 1,241.0-0.8 -0.06%
SPX 2,798.43-2.88 -0.10%
DXY 94.275-0.225 -0.24%
Start your day with the facts moving the markets
By clicking "Subscribe", you agree to our terms and privacy policy.

Related Stocks

ABBV 10 day candlestick chart for ABBV96.25 -0.38
-0.39%
ACN 10 day candlestick chart for ACN167.64 -0.45
-0.27%
ADBE 10 day candlestick chart for ADBE254.68 -3.91
-1.51%
AAP 10 day candlestick chart for AAP139.67 0.33
0.24%
AES 10 day candlestick chart for AES13.13 -0.05
-0.38%
AET 10 day candlestick chart for AET191.45 -0.44
-0.23%
AFL 10 day candlestick chart for AFL42.78 0.18
0.42%
AMG 10 day candlestick chart for AMG148.62 0.14
0.09%
A 10 day candlestick chart for A62.72 -0.66
-1.04%
ABT 10 day candlestick chart for ABT61.78 -1.28
-2.03%