Who Watches the Watchmen?

A new movie comes out this weekend call Watchmen. It is based on a graphic novel distributed by DC comics. Now, as far as I can tell, DC doesn't trade on the open market, but the distribution and production company that made Watchmen in to a movie is. Warner Bros. aka Time Warner Inc. (TWX)

At midnight on Thursday, March 5, 2009, Watchmen was released. And as of 2pm on Friday, March 6, 2009, TWX has had a bull of a day. Not much, but in this market a bull move is a bull move.

TWX opened and put in a low of 7.12 this morning and rallied up to a high of 7.47 with a pull back to 7.36. Now, that is only with a one night showing. That does cause some suspicion. Lets look at some more technicals.

The candlestick created is not finished being made as of 2PM, so can't use that. The RSI for this stock truly is not pretty in the mid-30s. The volume is not extraordinary but not depressing. The stochastics are way oversold and have been for some time, but they crossed up with today's move. The MACD is also way oversold, however, it has been slowly trending upward and has crossed upward with today's bull move in price.

So we have a very week stock with some week indicators that just barely suggest a change in trend. Not enough to sell me on making an investment either way. I definitely want to keep watching it though. I am thinking that if the box office numbers put it in the top 3 and by very tight numbers, TWX might be something to invest in, at least for a short time.

That is my opinion, you can take it or leave it.

Disclaimer: I am not a stock broker; I am not a financial advisor; I am not recommending to you what to buy or sell. I am just an opinionated investor. If you decide to follow in my footsteps you are taking risk. It is inevitable that I may be wrong. So if you are going to follow in my footsteps that is your own personal decision. I am not responsible for any loss that you may, and probably will, incur regardless of my opinion.