Is MCDONALD'S CORP Ready to Break Out of Its Range?

MCDONALD'S CORP (NYSE:MCD) was identified as a Technical Breakout Setup Pattern by our stockscreener. Such a pattern occurs when we see a pause in a strong uptrend: after a strong rise the stock is consolidating a bit and at some point the trend may be continued. Whether this actually happens can not be predicted of course, but it may be a good idea to keep and eye on NYSE:MCD.

Insights from Technical Analysis

Every day ChartMill assigns a Technical Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple technical indicators and properties.

Taking everything into account, MCD scores 8 out of 10 in our technical rating. This is due to a decent performance in both the short and medium term time frames. Compared to the overall market, MCD is only an average performer.

• The long and short term trends are both positive. This is looking good!
• MCD is currently trading in the upper part of its 52 week range. The S&P500 Index however is currently trading near a new high, so MCD is lagging the market slightly.
• When comparing the performance of all stocks over the past year, MCD turns out to be only a medium performer in the overall market: it outperformed 53% of all stocks.
• MCD is an average performer in the Hotels, Restaurants & Leisure industry, it outperforms 56% of 135 stocks in the same industry.
• In the last month MCD has a been trading in a tight range between 283.71 and 300.11.

Our latest full technical report of MCD contains the most current technical analsysis.

Why is NYSE:MCD a setup?

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the level of consolidation in the stock based on multiple short-term technical indicators. Currently, NYSE:MCD has a 9 as its setup rating, indicating its current consolidation status.

MCD has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 295.93. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 285.51, a Stop Loss order could be placed below this zone. Very recently a Pocket Pivot signal was observed. This is another positive sign.

Trading setups like NYSE:MCD

A breakout could materialize when the stock breaks out to new highs above the current consolidation zone. One could wait for this to happen and buy when this happens. A stop loss could be placed below the consolidation zone.

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents technical observations generated by automated analysis but does not guarantee any trading outcomes. Always trade responsibly and make independent judgments.

More breakout setups can be found in our Breakout screener.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.