McDonald's stock has formed a bull flag pattern on the charts
Back in September, McDonald's Corp (NYSE:MCD) was flagged by our quantitative researchers for being near a historically bullish trendline. That "buy the dip" blog post proved prophetic, with MCD gapping higher in late October and scoring a record high of $281.67 on Nov. 10. With two weeks left in 2022, what's the Dow stock's technical setup looking like?
Looking at the chart below, McDonald's stock has formed a nice little bull flag pattern, with support below at its 40-day moving average. Barely above its year-to-date breakeven level, MCD's fight to topple this psychologically-significant level by New Years.
Options premium is affordably priced at the moment, per MCD's Schaeffer's Volatility Index (SVI) of 17% that sits in the 18th percentile of its annual range.