McDonald’s (MCD) Offering Possible 14.42% Return Over the Next 15 Calendar Days

McDonald's's most recent trend suggests a bearish bias. One trading opportunity on McDonald's is a Bear Call Spread using a strike $119.00 short call and a strike $124.00 long call offers a potential 14.42% return on risk over the next 15 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $119.00 by expiration. The full premium credit of $0.63 would be kept by the premium seller. The risk of $4.37 would be incurred if the stock rose above the $124.00 long call strike price.

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

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

The RSI indicator is at 31.48 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

McDonald's Earnings Hint at a Disturbing Industry Trend
Wed, 03 Aug 2016 22:04:24 GMT

China Starts to Lose Its Taste for McDonald’s and KFC
Wed, 03 Aug 2016 21:00:10 GMT

Kate Spade Crash Exacerbates Fears About Consumer Stocks
Wed, 03 Aug 2016 20:52:39 GMT

Forget Growth, Buy McDonald's (MCD) Stock for the Dividend
Wed, 03 Aug 2016 20:21:08 GMT

McDonald’s Corp. :MCD-US: Earnings Analysis: Q2, 2016 By the Numbers : August 3, 2016
Wed, 03 Aug 2016 15:24:21 GMT

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