Tuesday Morning

Gator's Chart of the Day: DISCK

Discovery Communications Inc is one stock I've never owned.  I like much of their content and MythBusters is one of my favorites. 

The white resistance line is the all-time high (58.29) and it's within 10% of the 50 day sma so it's really not extended.  (The stock also has ticker DISCA and the chart is very similar.)  Volume has been very strong with Monday hitting 162% of the 50 day sma.

The Trade
I see a couple of ways to enter the trade.  Either buy the breakout if it clears the all-time high or buy on a pullback and bounce from closer to the 50 day sma.  I prefer the pullback but that may not happen anytime soon.