DIS Trade on Nov 8, 2019 12:20 from Cklamb: Tradervue User Stock Trades.

DIS
Intraday Fundamentals
• Streaming investments weighed on Disney’s bottom line in the latest quarter, as it prepared to launch its new Disney+ service on Nov. 12. Nonetheless, the media and entertainment giant earned more than analysts had expected in its fiscal fourth quarter, and its stock is rising close to 6% in after-hours trading Thursday.
• Walt Disney (ticker: DIS) posted $1.07 in adjusted earnings per share for its fiscal fourth quarter, which it reported after the market closed Thursday. That’s well ahead of analysts’ expected 95 cents per share, but down 28% from $1.48 in the same quarter in 2018. Sales in the quarter reached $19 billion, up 34%, reflecting the incorporation of 21st Century Fox. That deal closed in late March. The revenue figure was equal to what Wall Street analysts had been expecting. Net income was $785 billion.
• The company’s overall operating income rose 5% from a year ago, to $3.4 billion, far short of the 34% rise in revenues. Wall Street’s consensus estimate had been for $2.9 billion.
• The consolidation of now-majority owned Hulu as part of Disney’s 21st Century Fox acquisition affected results at its Direct-to-Consumer & International unit and Disney’s intracompany eliminations. Revenue in the streaming segment jumped to $3.4 billion, from $825 million a year earlier. Costs, however, also climbed as Disney spent on content and promotions for ESPN+ and Disney+. Operating losses were $740 million, up from $340 million in the year-ago period.
• When Disney’s movie or TV division licenses content to one of its streaming services or international subsidiaries, it removes those sales from its companywide figures. Revenue eliminated to avoid double counting jumped to $803 million in Disney’s fourth quarter, from $156 million a year ago. Operating income eliminations went from a loss of $6 million to a loss of $67 million.
• Disney+ is set to launch in the U.S. on Nov. 12 at a cost of $6.99 a month or $69.99 annually – about half the cost of Netflix – with an international rollout to follow. It will include new and library titles from Disney, Pixar, Marvel, Star Wars, and National Geographic. A bundle including Disney+, Hulu, and ESPN+ will also be available for $ 12.99. Other new streaming services from AT&T’s (T) WarnerMedia, Comcast’s (CMCSA) NBCUniversal, and Apple (AAPL) are coming out by the middle of next year.
• Disney stock had returned 22% this year including dividends through Thursday’s close. That is behind the S&P 500’s 25% return, but ahead of the Dow Jones Industrial Average’s 20% return. Disney’s media competitor Discovery’s (DISCA) shares had returned 25%, while soon-to-be-merged Viacom (VIAB) and CBS (CBS) stocks had lost 10% and 13%, respectively, after dividends this year through Thursday.
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Technicals
ADV 8 M RVOL 1.76 ATR 1.91 BETA .97 Short 1% Inst Own 67%
Daily

Hourly

Intraday

Trading Strategy
• Long bias on this
• 139 would be the heavy scalp long if it wicks to that in the first few minutes, take it small
• Small long if it looks like it will open strong, hold at least one candle or when the tape seems to bring in the spread
• Look for longs at 140, 139 if they are inside the opening range and the tape appears healthy
• Short bias if this starts to hold below 139 or 138, it may run a multi-day pullback if the profit taking is strong and some of the news was baked in.
• VWAP and SMA Momentum trades near levels or HL’s
Reading the Tape
I could not read the tape during the morning on this.
However, I did catch many of price points in the afternoon where could see the battles happen on the tape. The most evident were 137.18 and 136.95. There were some more. This did not seem to give a lot of it “really’’ should pop here reads like I think I am seeing every once in a while
Trade Management

Review
• The short at the opening should have led to a position throughout the morning session.
• These were still nice scalps. The entry on the second could have been more thought out
• I started playing for a run off the bottom a little earlier than I should.
• I did manage to increase p&l here until I hit the runner into 1330 MST