MDO trade ideas
MCD – Top End of Range, DowntrendMCD is downtrending.
Currently price is on the high end of the range, and on the daily chart (not pictured), price is pushing against the trendline.
Consumer demand for their products is decreased.
However, on the lower trendline, the last low was not quite as low as the low before that. (not a good sign for this position)
Price is likely to go down at this point.
Price targets:
88
84.70
82.14
MCD Day Trade Perfect Gap N Go (Brad Reed Jan29,2015)MCD expected to open at 91.50 for a Perfect Gap N Go. To learn to trade this strategy for free go to www.RealLifeTrading.com
MCD Day Trade (Brad Reed Dec8,2014)MCD- Expect opening at 93.40 for a Gap N Go. Watch out for close support zone. Learn this strategy for free at www.RealLifeTrading.com
Business as usualMCD cope really well with the recent sold off in first half of October.
Technical, it found strong support at 200ema, having two weeks of hammers, in addition both indicators also provide strong support as highlighted.
Hence, i reckon price will most probably continue to complete the rising wedge pattern until price reach the previous resistance of 103.78 which coincide with both indicators meeting their respective upside resistance
McDonalds (MCD) to be sold now at 95 to 98 for a decline to 83Nice 5 waves down.
Nice clean break of 3 year trendline.
Nice pullback.
Nice retest of pullback area.
A close below 95.50 is also going to be a very bearish daily candle.
MCD is a perfect sell setup for a measured move target of 83.
Mc Donald's - Bullish divergenceLooking at the weekly chart, it is pretty obvious that this stock is going down. A triple top is as bearish as it gets However the chart is a bit over extended to the downside and there are small divergences.
Looking at the daily, a short term opportunity exists. On the longer term, one should only sell MCD, but for the moment, a small rally is highly probable, as we have bullish divergences on the MACD lines and Force Index. The Weis Wave shows a big effort which only resulted in a false breakout.
If this stock breaks below 89$, I was wrong and the selling will continue.
The formation of the right shoulder is also a possibility.The formation of the right shoulder is also a possibility.
Don't Ignore this Bearish PatternRecent double top bearish formation in weekly chart still remains intact and early days of this month it broke out downside form the neckline but it has been rejected what seems now a temporary relief and still seems a possibility to achieve that target price. Forget now to see $103 before end of this year even if market prints a new higher highs. If you want to see a real time alerts try us www.2waytrading.com
WHY RONALD?McDonalds has been going down for several months now and it just approached resistance. The EMA's just turned bearish on the hourly and it looks like the downtrend will continue down for now..
B4 close 93.39
MCD Bullish engulfing + Failling Wedge, reversal patern?MCD has been in a failing wedge downtrend figure lately. This figure is not confirmed yet.
To get confirmation, we need a good break through B-D resistance.
MCD also had a bullish engulfing candle, confirmed on Friday.
RSI and Stochastic are neutral.
SAR just reversed to an uptrend on Friday.
I will go long on this one on monday if price is still decent.
Target is 100,86$.
Technical Analysis : McDonald's At Critical SupportTechnical Analysis
After breaking the minor falling channel ( I mentioned in my prior long term analysis 8 months ago, check links below)the price headed to retest the top of the main long term rising channel, but Price failed around the major high at 102.22 again. And that keeps my overall bias bearish, a break and weekly closing below 92.20 may give further confirmation for the the bearish formation, as the price would complete a double top formation, within the context of a wider potential triple top. That could signal a move to 83.30 major low and neckline for a major long term bearish triple top.
I will keep my eyes on 93.20 level for now, which should determine the next trade.
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MCD Long; 150EMA Support - Risk:Reward Of 62:1This trade setup is pretty simple and doesn't require any rocket science. McDonald's, or MCD, is a component of the DOW30. MCD has been in a trading range on the weekly chart for quite some time now. We are currently at the bottom of this range, providing an excellent opportunity to get long. I'm using covered calls in this name to get long the stock at as cheap a price as possible. The RSI show at label (A) is finding support in the oversold zone we have seen it bounce from before. In addition, we have moved off the 150EMA Weekly, which if you look at the green ellipse has previously held up since about 2007-2008 (not shown in this chart). There are two long possibilities here for me:
1) Buy MCD at 93.68 and Sell the Oct. 100 Call for $0.27 making your cost basis $93.41. With our stop on a close below $93.05 we are risking about $0.36 to make a maximum of $6.59. That's a risk reward of 18:1.
2) 1) Buy MCD at 93.68 and Sell the Oct. 97.5 Call for $0.57 making your cost basis $93.11. With our stop on a close below $93.05 we are risking about $0.07 to make a maximum of $4.39. That's a risk reward of 62:1.
(I traded #2)
The risk reward is assuming we could close out the position on the penny. This of course is not entirely true because we do not know how far below the market can close. It give you an idea however of just how well this trade is setup. You can tailor your stops to your liking. For example from this level, my stop is on a close below $93.05 or a touch of $92.35. This is because I never risk more than 2% on a single trade. I traded play number 2 because it brought my cost basis closer to the EMA reducing risk, while limiting profit. To compensate I doubled the size of my MCD position so the profit would match that of Trade Play #1, with my total risk being less than 2% still, and appropriate stops in play as mentioned. $97.50 is the closest and more likely target, with $102.00 being the top and more extended part of the range. So by using the $97.50 calls and doubling my size, my chances are better yet that I will achieve the same profits as Trading Play #1, simply because it only requires MCD to head towards $97.50 and not $102.00.
Good luck, and may the markets be ever in your favor!
McDonald’s @ Weekly Support LevelThe price begins to stabilize at the level of the minimum area between 93.14 and 92.22. Behavior that allows price oscillators triggered buy signals in highly oversold levels are accompanied by a surge in trading volume.
In this context we decided to give an opportunity for establishing a long position to stop weekly close below 92.22. An upgrade to the daily closing intermediate resistance located at 97.58 would adjust upward the stop operation.
mcdon the monthly chart we are in a price range of between 93 and 103 currently on the weekly chart we find ourselves on the support of 93 but already three weeks ago we had a large increase in volumes on a candle of indecision (minimum reached 94.78 then go to close 95.66)) the next 2 weeks we had 2 candles always very small and always indecision and quedi likely that prices can rise up to the strength of 100 as on the daily chart until you get to 100 you are in the presence of three gap to close
