Stock of the day: The Walt Disney Company

Stock of the day: The Walt Disney Company
Walt Disney is showing signs of continued bearish pressure, with the chart suggesting limited demand and rising downside risk. Earlier in the year, the price formed a large symmetric triangle pattern, marked with red lines. This structure dominated the first two months of trading. The decisive break below the lower boundary of the triangle in March triggered a clear sell signal and initiated a steep downward move.

Since then, Disney has entered a corrective phase, forming a rising flag pattern—outlined by green lines. Technically, flags are considered trend continuation formations, and in this case, the implication leans toward a further decline.

If the price closes below the lower green line of the flag, that would confirm a bearish continuation and activate a fresh sell signal. Conversely, a breakout above the upper boundary of the flag would invalidate the pattern and shift sentiment back to bullish. Until then, pressure remains on the downside.


 
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