Short
$DPZ Dominos Overstuffed Crust - Short
DPZ Dominos has been testing the upper limits of the current ascending channel for a few days now. It's finally looking over-extended, overbought, and primed for reversal. Notice the final push for another new ATH today with a bearish divergence in volume, RSI, and MFI. Definite rising wedge pattern into the upper channel limit (shooting star doji on the daily chart). Once the price breaks through the lower wedge line, I'm expecting a correction to at least the area of the 50d ema or ~$264. If the 50d doesn't hold as support I'm expecting sub-$260 by July.
On a fundamental note: Dominos just lost their CFO yesterday...never a good sign.
This analysis is an opinion and does not constitute investment advice.
Note
Just realized today is DPZ ex-dividend date as well. It all makes even more sense now.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.