Shares of McDonald’s Corp (MCD) are rising nearly 5% today on the back of solid earnings from Chipotle Mexican Grill (CMG). The fast food pickup/takeout game is alive and well as consumers are getting tired of cooking at home. On a technical basis, there is a McDonald’s stock chart breakout above the daily 50 moving average today. This likely gives it further upside to the daily 200 moving average at $201 in the coming weeks. This means there is the potential for another 7-8% upside in McDonald’s Corp until it hits a short/sell level.
As a swing trader, I accept the stock chart breakout, sitting back and letting it run higher in the near-term. Aggressive traders/swing traders can likely buy it and play the upside move. I will likely step up and short the key 200 daily moving average at just over $200/share.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.