Friday, March 7, 2014

World Wrestling Entertainment, Inc. (NYSE: WWE)

World Wrestling Entertainment, Inc., an integrated media and entertainment company, is engaged in the sports entertainment business worldwide. It operates in four segments: Live and Televised Entertainment, Consumer Products, Digital Media, and WWE Studios. The Live and Televised Entertainment segment produced live events and provides content for its television and other programming; designs, markets, and distributes various WWE-branded products, such as t-shirts, caps, and other novelty items; and offers pay-per-view programs. The Consumer Products segment has a licensing program using its marks and logos, copyrighted works, and characters on various retail products, including toys, video games, apparel, and books; distributes home entertainment DVD/Blu-ray products; and publishes WWE, WWE kids, and several special magazines. The Digital Media segment operates Website, WWE.com; provides advertising services; sells merchandise on its Website at WWEShop Internet storefront; and sells broadband and mobile content. The WWE Studios segment is involved in the production and distribution of filmed entertainment content.
Please take a look at the 6-month chart of WWE (World Wrestling Entertainment, Inc.) below with my added notations:
6-month chart of WWE (World Wrestling Entertainment, Inc.)
There are two prices in particular that standout on WWE. The first is the 52-week high resistance at $25 (red). The other is the $22 level (green) that has been a key support throughout the entire month of February. The stock appears to be on its way back down to the $22 support, which could provide a bounce higher.

The Tale of the Tape: WWE has key levels of $22 and $25. A long trade could be made at $22, or on a break through $25, with a stop placed below the level of entry. However, if the stock were to break below $22 traders might want to look to get short on the stock.
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