BloggerMag V2

New York, January 20th (TradersHuddle.com) - Shares of Walt Disney Co. (NYSE:DIS) are trading very close to calculated resistance at $40.00 with the current price action closing at just $39.17 placing the stock near levels that make it difficult to buy.

The Walt Disney Company, the largest media company in the world, conducts operations in media networks, studio entertainment, theme parks and resorts, consumer products, and Internet and direct marketing. The Company produces motion pictures, television programs, and musical recordings, as well as publishes books and magazines. Disney also operates ABC radio and television, cable channels and theme parks around the world. Disney owns the most watch and valuable sports network in cable, ESPN. The entretainment company was founded by Mr. Walt Disney in 1923 and its based in Burbank, CA.

Disney's current stock range is defined by current calculated support defined at $35.15 and by the resistance level at $40.00, the stock is clearly over-extended from support, making it difficult to establishing new long positions at this level.

Traders don't have a clear entry point for Disney, as the stock is well above support, however, as the stock pulls back towards $35.15 it will definitely provide a reference point to establish a trade. On the other hand if the stock decides to break above resistance level at $40.00 then traders will get an opportunity to enter Disney stock by establishing a position as the stock moves to a higher range.