McDonald’s (MCD) Offering Possible 22.55% Return Over the Next 31 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 $180.00 short call and a strike $190.00 long call offers a potential 22.55% return on risk over the next 31 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $180.00 by expiration. The full premium credit of $1.84 would be kept by the premium seller. The risk of $8.16 would be incurred if the stock rose above the $190.00 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 29.62 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

PRESS DIGEST – Wall Street Journal – May 15
Fri, 15 May 2020 05:24:18 +0000

Japan's regions, companies emerge from virus emergency while Tokyo restrictions remain
Fri, 15 May 2020 04:42:18 +0000
Large parts of Japan marked the first day out of a state of emergency on Friday while major cities remained under coronavirus restrictions and new testing suggested that contagion in Tokyo was wider than official figures. Prime Minister Shinzo Abe lifted the state of emergency for these prefectures on Thursday but said the urban centres of Tokyo and Osaka and six other prefectures will remain under restrictions until there is convincing containment of the coronavirus.

Top 5 Buys of Ray Dalio's Bridgewater in the 1st Quarter
Thu, 14 May 2020 23:21:13 +0000
The $165 billion hedge fund releases portfolio in a coronavirus-driven landscape Continue reading…

McDonald's Issues 59-Page Guide for Reopening Dining Rooms: Report
Thu, 14 May 2020 21:21:00 +0000
Steps recommended by McDonald's to deter the spread of coronavirus could prove complicated and expensive.

McDonald’s to end public soda fountains due to coronavirus pandemic
Thu, 14 May 2020 20:37:31 +0000
McDonald's post-coronavirus crisis new normal will see the end of the ubiquitous public soda fountain. Some franchises may keep the "beverage bars," but they're hard to clean so many locations will discontinue them.

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