Post-earnings trade setups: Walt Disney, BP, and Uber

With Q2 earnings season slowing down, Walt Disney, BP, and Uber provide us with the interesting trading opportunities.

This article looks at some of the big movers off the back of recent earnings announcements to try and find stocks that seem to provide a good trading opportunity. Typically, earnings announcements and trading statements will drive a shift or enhancement of market sentiment. While many see earnings as a significant risk when holding a stock, placing trades in the wake of such events allows for greater confidence that all market knowledge has been factored into current prices.

Walt Disney

Walt Disney Co (All Sessions) has had liftoff, with news of a surge in Disney Plus subscribers helping to overshadow a massive loss over the quarter for the company. Nevertheless, we have seen price finally break from a symmetricl triangle formation to bring a fresh five-month high. With price moving into overbought territory on the stochastic, we could see a pullback come into play before long. However, whether that occurs or not, a bullish outlook is in play for this stock as long as we do not see a break back below the $113.38 low.

BP

BP PLC shares have enjoyed a nice surge in early part of the week, yet the wider downtrend has once again kicked in to send the stock lower. The failure to break through the £3.18 swing-high signals a bearish continuation potential, with the subsequent downside move pointing to such a likely move coming into play. As such, a bearish outlook remains in play unless we break through that £3.18 high from late-July.

Uber Technologies

Uber Technologies Inc (All Sessions) shares have been on the rise over the course of the week, with price tentatively pushing through the $34.44 resistance level. That level is key here, with recent attempts to push through it resulting in a move lower. With that in mind, the failure to hold above that level could point towards another move lower in the coming days. As such, while that tentative upside break could signal an impending period of strength, we would need to see a more healthy break through that zone to bring a more confident bullish outlook for the stock.

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