McDonald’s (MCD) Offering Possible 18.76% Return Over the Next 16 Calendar Days

McDonald's's most recent trend suggests a bullish bias. One trading opportunity on McDonald's is a Bull Put Spread using a strike $122.00 short put and a strike $117.00 long put offers a potential 18.76% return on risk over the next 16 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $122.00 by expiration. The full premium credit of $0.79 would be kept by the premium seller. The risk of $4.21 would be incurred if the stock dropped below the $117.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for McDonald's is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for McDonald's is bullish.

The RSI indicator is at 67.32 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here

LATEST NEWS for McDonald's

Exclusive: Exec that worked on McDonald's branding will lead Boston VC firm
Wed, 03 Feb 2016 12:00:10 GMT

McDonald’s Is Still Concerned about the Strengthening Dollar
Wed, 03 Feb 2016 05:05:25 GMT

McDonald’s is being accused in a lawsuit of having insufficiently cheesy mozzarella sticks
Tue, 02 Feb 2016 22:52:46 GMT

Wendy's is making a major change to its hamburgers
Tue, 02 Feb 2016 20:08:10 GMT

Will Taco Bell Carry Yum! Brands to Strong Q4 Earnings?
Tue, 02 Feb 2016 19:23:32 GMT

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