The Walt Disney Company (NYSE:DIS) shares are trading slightly higher Tuesday, hovering around a key support level of $97.50 as the stock attempts to stabilize after recent weakness. Investors are watching whether buyers can defend this area or if a break lower could trigger further downside.

Disney Struggles Below Key Averages As Trend Stays Negative

Disney is trading 1.4% below its 20-day SMA and 9% below its 100-day SMA, keeping the intermediate trend pointed lower even as shares attempt to stabilize. The stock is down 1.33% over the past 12 months and remains closer to its 52-week lows than highs.

The 20-day SMA remains below the 50-day SMA, and a death cross formed in December continues to signal that rallies may face overhead resistance. For bulls, a move back above the 20-day average would be an early sign of improving momentum.

Momentum Signals Lean Bearish

RSI is at 39.46, sitting in neutral territory but still reflecting weak momentum following the recent selloff. Meanwhile, MACD remains negative and below its signal line, keeping bearish pressure in place.

The combination of neutral RSI and a bearish MACD suggests mixed momentum with a slight downside bias.

Key Levels To Watch

Support sits near $97.50, an area the stock is currently testing. A break below this level could open the door to further downside.

On the upside, resistance is near $111.00.

Disney Stock Edges Higher

DIS Price Action: At the time of publication, Disney shares are trading 0.79% higher at $97.14, according to data from Benzinga Pro.

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