Trade Ideas Newsletter 08/11/2016

CMCSA is at the beginning of a significant breakdown

Based on the previous analysis in CMCSA, traders should ensure that their portfolio can handle increased risk from an additional trade. Also check to make sure that CMCSA increases diversification of your current portfolio. Lastly, smart traders check how a new position relates to not just their account, but the current market action as well. For example, take a look at the S&P 500. Is it moving higher or lower? Has it recently moved through a key resistance or support level? Be sure to match up your trading actions on CMCSA in relation to the overall market movement.

CHART

Right now the custom sentiment levels, measured by Traders For Wealth, indicate an increasingly negative bias toward CMCSA. In addition, the price action in CMCSA has been moving down as well. This could be a strong sign of an impending breakdown. Traders should view this as a very bearish trade and make sure it matches up with the overall market, and their current portfolio.

Comcast Corp (CMCSA)

Comcast Corporation is a media and technology company. The Company’s primary businesses include Comcast Cable and NBCUniversal. Its Comcast Cable business operates in Cable Communications segment. Its NBCUniversal business consists of four segments, which include Cable Networks, Broadcast Television, Filmed Entertainment and Theme Parks. Its Cable Communications consists of the operations of Comcast Cable, which provides video, Internet and voice services to residential customers under the XFINITY brand. Its Cable Networks consists of national cable networks, regional sports and news networks, international cable networks and cable television studio production operations. Its Broadcast Television consists of the NBC and Telemundo broadcast networks. Its Filmed Entertainment consists of the operations of Universal Pictures. The Company’s Theme Parks consists in Universal theme parks in Orlando, Florida and Hollywood, California.