27.97 0.0 (0.0%) Sell

DISCA continues its fall as more investors loose confidence

13 min read

DISCOVERY, INC. ranked worse than it's peers on Friday. It fell by 0.0% to close at 27.97. On a day when the overall market breadth was 35%, it closed higher than 67% of the market. In comparison, the benchmark SP500 index closed today at -0.0191%.

[Themes containing DISCA]

DISCA is currently in a bearish trend. Over the last three months 2 bearish signals have generated a profit of +3.31% for investors.


DISCA has been underperforming the SP500 index in recent time. It showed significant underperformance (compared to the SP500 index) from 4 Feb, 2016 to 14 Nov, 2017. Over the last 2 years 11 months and 10 days, DISCA underperformed the SP500 index on 48% days. Which indicates that on days DISCA underperforms the SP500 index, it's performance is marginally worse than on the days it outperforms the SP500 index.

During the last three months DISCA was mostly loss making and delivered on average -0.19% per day. It's best return during this period (of +4.18%) was on Thursday, 6 Dec, 2018. While it's worst loss in the same period (of -9.03%) was on Wednesday, 24 Oct, 2018. The longest stort-term trend during this period was 8 losing days, which started on 9 Nov, 2018 and ended on 20 Nov, 2018. This bearish trend lost -13.43% of investor capital.

During the last year DISCA had 5 profitable months and 7 loss making months. DISCA returned profits in fewer months than SP500 index. DISCA significantly outperformed SP500 index in Jun 2018, when it returned +30.39% compared to +4.75% returned by SP500 index during it's best month in the last one year - Jan 2018. DISCA had a longer winning streak of losing months than SP500 index. It went down in 3 straight months (from Oct 2018 to Dec 2018) during which period it delivered -14.2%. It is interesting to note that both DISCA and SP500 index significantly outperform during months when quarterly/annual results are announced.

Financial security and independence are like a three-legged stool resting on savings, insurance and investments.
-- Brian Tracy

DISCA is currently seeing overall increase in volatility. In comparison, the SP500 index is seeing increase in volatility. During the last three months, there was a significant surge in DISCA's volatility from 17 Sep, 2018 to 6 Dec, 2018. While there was a significant surge in the SP500 index's volatility from 25 Sep, 2018 to 29 Oct, 2018.

Advanced/professional short-term investors should note that DISCA has positive skewness in it's return distribution. This indicates that investors can expect DISCA to make attempts to recover from drawdowns quickly. Which makes DISCA a good candidate for momentum based trading on short-term bullish trends or counter-trends.

SP500 index has more chance of extreme outcomes than DISCA. Therefore, SP500 must receive a lower allocation than DISCA in your portfolio. SP500 index usually has shorter drawdown period than DISCA.

Based on your interest in DISCA you may find it interesting to know that FAST, RIVE and FTAI have all performed similar to DISCA and qualify as alternative investment candidates that must be evaluated for diversification.

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