Whilst the main market closed moderately higher, there was notable strength in Discovery (DISCA), which settled +1.9% @ $33.37. However, price structure is a very large bear flag since the Feb' low of $28.71. There is viable downside to the 25/22 zone this summer.
*to be clear, I am fundamentally bullish about the company, which remains profitable, with a very sound long term outlook.
However, price structure is what it is... and if the main market sees any kinda of sig' retracement this summer, there is little chance that DISCA won't take out the Feb' low.. and slip to the 25/22 zone.
On any basis, I would be looking to go long DISCA later this summer... on any hit of 25/22s.
**Discovery have earnings early Tuesday