Disney Stock (NASDAQ: DIS) tumbled 7%; Will DIS drop below $81?
The Disney stock price has been on a decline for a year, forming lower lows and a bearish pattern. The company has faced many challenges – pandemic shutdowns of theme parks, changes in leadership, rivals in the streaming market, and the strike of Hollywood writers. The trend is downward and the bears are in control. The price has moved far away from the 50, 100 and 200 moving averages, indicating a strong bullish trend.
Disney stock price is currently trading at $81.64 with a loss of -2.44% in the last 24 hours with DIS having a current market cap of $149.181 Billion. Disney Stock (NASDAQ: DIS) tumbled 7% this month. However, DIS stock gave a negative performance throughout the year and gave a 26.97% negative return in the span of 1 year.
24 analysts gave their 1-year price targets for DIS stock. The highest price prediction was $146.00, which is +78.83% above the current price. The lowest price estimation was $65.00, which is -20.38% below the current price. The average price target was $110.33, which is 35.14% above the current price.
Source: TradingView
When we look at the analyst ratings, 30 analysts rated Disney stock in the past three months. 19 analysts gave a strong buy rating, 2 gave a buy rating, 7 gave a hold rating, zero gave a sell rating, and 2 gave a strong sell rating. However, the majority of the ratings were Buy.
Technical Breakdown of DIS Stock Price: Is Disney stock a buy?
Source: TradingView
Walt Disney co stock price is below the 50 and 200-day EMA, indicating a downtrend. However, the price has moved too far from the EMAs and sellers are pushing them lower. If the price drops below the $80 level then a new downtrend may start and new lower levels may be found.
The RSI value is 41.65 points, showing weakness but near the oversold zone. The 14 SMA is above the median line at 34.02 points, confirming the bearish trend. The MACD has a negative crossover and the histogram is red, signalling bearishness.
Conclusion
The Disney stock price has been in a downtrend for a year and is approaching a critical support level of $80. The market sentiment is bearish and the sellers are dominant. However, the stock is oversold and may bounce back if the bulls can defend the support. The investors should be cautious and watch the Disney stock price action near the $80 level to decide their next move.
Technical Support and Resistance Levels
Support Levels: S1 79.92 and S2 76.15.
Resistance Levels: R1 89.99 and R2 96.29.
Disclaimer
research delivered in this article is for informative and educational purposes only. Do not depend on this information as financial, investment, or trading recommendations. Investing and trading involve risk. Please consider your circumstances and risk forbearance before making any investment conclusions.
