McDonald’s stock (MCD) price is currently finding stability near its recent high, forming a double bottom pattern as it approaches the key level of $300. Buyers are currently gaining fresh momentum and have maintained an uptrend in the past trading sessions.
After breaking out above $270, MCD stock has experienced a surge in momentum following the completion of its flag and pole pattern. Since then, the stock has been displaying a continuous one-way move without taking a significant pause.
The price rally of MCD stock has trapped sellers and triggered a short covering move in recent sessions. Bulls remain dominant, driving the stock price higher without impacting global market sentiment. Trading above key moving averages, the stock is poised to reach the $300 level soon.
McDonald’s Corporation (McDonald’s) operates and franchises McDonald’s restaurants. The Company’s restaurants serve a locally relevant menu of food and beverages. Its restaurants are owned and operated by independent local business owners. The Company’s sectors include the United States (U.S.), International Operated Markets (IOM) and International Developmental Licensed Markets & Corporate (IDL).
At press time, MCD stock was traded at $294.71 with an intraday gain of 0.57% showing a bullish chart structure. Furthermore, the intraday trading volume was noted at 2.836 million, which marks an increase of 2%. The ongoing price action shows the dominance of bulls and continues to shift the rally upwards.
McDonalds is Rising Towards $300 on the Daily Charts
On the daily charts, MCD stock experienced a notable breakout of the flag and pole pattern, which resulted in a sustained bullish momentum. Furthermore, the stock successfully surpassed multiple resistance levels during the rally, entering uncharted territory where there are no defined limits to the upside potential, but where the downside is still limited to the support level around $280.
Furthermore, if buyers achieve further momentum and the price surpasses $300, then an extensive move will occur and the stock could soon rise up to $310 as per the Fib extension levels.
What Technical Indicators Say?
On the 4-hour charts, MCD stock was consolidating near the peaks and waiting for the action to achieve $300. The buyers are waiting for the right moment to execute and trigger the breakout. Furthermore, long buildup was noted in the past trading sessions which indicates that a rise in the stock is likely to occur in the near future.
The RSI curve stays in the overbought zone and a positive divergence was also noted which may lead to a further bounce in the stock price.
The MACD indicator showed a mild neutral view based on the convergence of the moving averages. However, the price is at the verge of a breakout which could occur soon.
Conclusion:
McDonald’s stock has maintained its strong position at the top and appears poised for a potential breakthrough above the $300 mark in the upcoming trading sessions. The stock’s positive momentum and overall market sentiment suggest a favorable environment for further upward movement.
Technical Levels:
Support Levels:$280
Resistance Levels: $300
Disclaimer:
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/06/22/will-mcdonalds-stock-nyse-mcd-rise-above-300/