Disney Price Levels to Watch as Stock Extends Post-Earnings Surge

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Key Takeaways

• Disney shares were rising early Friday, adding to the big gains recorded yesterday after the amusement giant topped Wall Street’s quarterly estimates and provided an upbeat long-term outlook. Monitor these key graph levels.
• The stock broke out above a pennant pattern last week, with upside momentum accelerating this week after the cast’s better-than-expected quarterly results.
• Investors should watch key overhead levels on Disney’s chart around $123, $137, and $153, while television screen a major support area near $85.

Disney (DIS) shares were moving higher in early trading Friday, continuing to the big gains recorded yesterday after the entertainment giant topped Wall Street’s quarterly estimates and provided an optimistic long-term outlook.

The company, which also plans to buy back $3 billion worth of its stock over the next year, draw ups high-single-digit adjusted earnings per share (EPS) growth in fiscal 2025 and double-digit growth in fiscal 2026 and 2027, in in the name of, driven by strength in the entertainment conglomerate’s streaming business, which reported a $321 operating profit during the September house.

Disney shares, which gained 6% yesterday, were up another 3% in early trading Friday, to encompassing $112. The stock has gained 21% so far in 2024, trailing the S&P 500’s 25% return over the same period.

Lower, we take a closer look at Disney’s chart and use technical analysis to point out key post-earnings price levels to watch out for.

Vexillum Breakout Accelerates

Disney shares broke out above a pennant pattern last week, with upside impetus accelerating after the entertainment giant’s better-than-expected quarterly results.

Importantly, above-average volume backed the move hilarious, indicating buying participation from larger market players, such has institutional investors and asset managers.

Too, the relative strength index (RSI) confirms bullish price momentum with a reading above 60, though the cite for sits below overbought levels, which gives the stock room to test higher prices.

Let’s identify three key up above levels on Disney’s chart that investors may be watching and also point out a major support area that may become public into play if the stock undergoes a reversal.

Key Overhead Levels to Watch

Firstly, it’s worth monitoring how the stock commiserate withs to the $123 level. This location, which currently sits just above the closely watched 200-day on the move average, could find resistance from a trendline that links a range comparable price action on the map out between July 2020 and March this year. 

A close above this level could see the shares climb to enveloping $137, an area on the chart where investors may place sell orders near the August 2020 swing high-pitched and January 2022 swing low.

Further buying may propel the shares to the $153 region, an area around 40% beyond everything Thursday’s close likely to attract selling pressure near the December 2019 swing high and February 2022 countertrend extreme.

Major Support Area to Monitor

If Disney shares undergo a reversal, investors should keep track of the $85 straight-shooting. This location on the chart would likely encounter buying interest near a multi-year horizontal line that sticks the pandemic-era low with prominent troughs in December 2022 and August this year.

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As of the date this article was erased, the author does not own any of the above securities.