Example of Double Top pattern on Stock MarketDouble top pattern on Mc Donalds NYSE:MCD , indicating the two bounces, breaking zone and target for the short position. Parabolic SAR indicator confirms the bearish trend after the breaking.
4MCD trade ideas
Example of a Head and Shoulders patter on MCD stockMCD stock price formed a head and shoulders pattern. The first part of a head and shoulders pattern is an uptrend, bounces making a first top (left shoulder), then it goes down and makes a minimum.
Now that the left shoulder has formed, the price moves higher and makes a second top (HEAD), higher than the left shoulder, then it goes down and makes another minimun similar to the first one.
Draw a line between the two minimum prices to form the neckline and project it.
The left shoulder and the head have formed, now, the price moves up again and makes a third top similar to the first one forming the right shoulder. Then the price goes down.
To confirm the head and shoulders pattern, the price should close below the neckline. At this point you should make a short. The profit is the distance between the head and the neckline
In some cases you can see a pullback. This could be a second chance to short the stock.
MCD Mc Donalds possible short scenarioSlightly bearish on this share after data release of 1.76 vs 1.73 previous. This time my decision was purely based on my new forex system, but testing it on stock market, Lets see what it does!
Have a good Trading week,
Cream Live Trading, Cheers!
October 24 Earnings: McDonalds - The Rise Of The WageMcDonald's comparable sales will be aided by continued investments and menu innovation.
Alongside above mentioned factors, its international presence with a softer USD will aid overall margins.
However, with rising wage growth and soft quarterly restaurant spending globally, I expect profits to be under pressure.
Guidance should underwhelm with the aforementioned factors.
I am starting McDonald's with a $150 PT for the post-earnings move.
A tight stop well over ATH at $170 is advised.
MCD Bat, demand zone and 150 fig combinationWhenever there is a huge uptrend, those who are not willing to chase high price always say that they'll wait for pull back.
While there are still people contradicting with themselves that when a pull back actually happens, they change there mind and think,
"the uptrend is over , this is the top!!!!" and starting shorting the stock.
This makes no sense to me, as I'm always willing to chase high with acceptable risk and set-up, and if it did give a pull back, I'm more willing to long.
This is the case for MCD, or even for the stock index.These years, too many people told me that they may wait for pull back to long SPY,
but when a small pull back happens like the past few days, they change their mind to take the short and believe that's the top..
Plan your trade and trade your plan, and don't change your mind that easily !
Short Put Spread in High Diabetes levelsHigh IV in $MCD.
Sept 15 140/150 put spread @ $1.13, 2 contracts.
2x stop loss, 50% win mgmt.
McDonald's to continue run higherManagement
CEO is turning to tech to turn things around and seems very switched on. Has worked as a manager in McDonald's and has been CEO of PizzaExpress and then CEO of Wagamama.
Products
Moving into healthier but with fast food speed
Shorter queues
Mobile ordering coming soon
Home delivery is a wildcard that may improve sales
Burgers are still not the best
Still a stigma of dirty food (McDonald's isn't cool)
A lot of fast food competition
Financial Health
Gross margins improving
Revenue decreasing
Geographical Exposure
McDonald's operates worldwide, but is most popular in western countries.
Technical Analysis
A support zone ranging from 150.30 to 154.81. This zone is formed by a combination of multiple trend lines and important moving averages in multiple time frames.
A resistance zone ranging from 155.15 to 156.28. This zone is formed by a combination of multiple trend lines and important moving averages in multiple time frames.
Resistance @159.08 from a horizontal line in the daily time frame.
Trade
An entry @156.29. This is a Buy Stop order right above the resistance zone.
An exit @151.76. This is a Stop Loss order right below the 10 day low.
The worst case loss on the trade is limited to 4.53 points, which is 2.90%.
When investing 25.00% of your capital in this trade, your total portfolio risk will be 0.72%.
ARBITRAGE SELL MCDONNALD BUY YUMPrice differential has gone too wide.
PE RATIO FOR MCD 21 AND FOR YUM 17...
IT SHOULD GIVE THE PATH FOR CONVERGENCE OF BOTH ASSETS
Long in MCDMy current view for MCD is bullish due to its finacial strength is very good and the forecast of its earns is expecting to be 22% better than its previous earns. So, I bought in what I think that is a pull bak after a brake od a bull flag.
McDonald's AB=CD PatternJust something to be mindful of if you're long. We don't have confirmation for a short sale, but patterns like this that complete large measured moves can some times indicate a correction.
-Always use a stop
-Trade only with money you can afford to lose
-Be open to multiple scenarios
-It's okay to be wrong about anything
MCD moving into reference fib resistanceWith the China crack down on their lending practices this week this is bound to impact growth prospects. MCD has largely moved based off growth in asia. Very toppy pattern to watch.
MCD it's always good to rest after a Big Mac(up)we had a nice gap up pn huge volume a few days ago. If we want to see more strength, we don't want this gap to be filled.
