Stock of the day: McDonald’s

Today, we have a short update on McDonald’s, which has been enjoying positive trading in the second half of March. Previously, we analyzed this instrument at the beginning of March when the price was hovering above key mid-term support. This is what we said back then:

“Yesterday, MCD tested the support, and buyers managed to keep the price above it, which is a positive sign. However, the battle is not over yet, as the general sentiment in the market remains negative, and we can assume that sellers will try their luck again today and possibly tomorrow”

Sellers did try their luck again on the 9th, 10th, and 13th of March. All three attempts to break the 38.2% Fibonacci were unsuccessful. As they say, if something does not want to go down, it will probably go up, and that was the case with MCD. The price bounced and three days ago, breached the mid-term downtrend line connecting lower highs since November (in red). The price breaking that resistance indicates the end of the correction and the start of a new bullish trend. Sentiment on MCD is now positive.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-mcdonald-s-2