November 5 Chart of the Day - McDonalds
Highly precise price action technical analysis offers the strongest trading edges and the most opportunities across the markets, making it the foundation of our reviews.
McDonald’s (MCD) got a post-earnings boost after reporting better-than-expected results, but the move wasn’t strong enough to spark a meaningful breakout.
Despite resilient performance and steady revenue growth, price remains contained within its multi-year channel, leaving traders to wonder whether momentum can finally carry through resistance or if another consolidation phase is on deck.
We'll review the chart from a price action perspective to identify potential levels of interest in both directions.
The charts highlight key levels where investors and traders alike will be watching closely.
Consistent profitable investing and/or trading requires a structured, rules-based approach to price action analysis. Proven processes, disciplined risk-reward management, and precise execution create the foundation for long-term success.
When combined with powerful mental performance strategies, this method becomes the ultimate blueprint for thriving in any market, on any time frame.
As requested, this analysis will take a price action technical analysis approach to assess key levels and potential next price moves for this chart.
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Monthly Chart
On the monthly chart, price continues to trade within a long-term rising channel that’s been in place for several years.
After briefly approaching the upper boundary near $326 earlier this year, price has struggled to sustain upside momentum and is now consolidating within the middle of that range.
Support currently sits near $281, with resistance at $318, giving the stock a relatively well-defined structure.
Until price can decisively close above channel resistance, the broader trend remains intact but somewhat capped — a classic example of bullish structure meeting market hesitation.
With plenty of volatility traders have had much to be happy with and long term buy and hold investors have been happy with the multi-year uptrend.
This kind of movement highlights why a cautious and well-informed approach is essential when evaluating a stock’s short to mid term outlook.
Weekly Chart
The weekly chart highlights that while earnings helped lift price back toward the midpoint of the channel, the move lacked the conviction needed for a breakout.
Price action remains range-bound, coiling inside a symmetrical triangle that has formed over the past several months.
If price can push above $318, the next potential upside target sits near $335–$345 based on prior extensions. A failure to clear resistance, however, could send price revisiting support near $290 or even $272.
Overall, price continues to exhibit a pattern of higher lows but faces consistent resistance each time it approaches the upper end of the range — a sign that buyers still need stronger momentum to sustain a new leg higher.
It goes without saying though, the only guarantee in the markets is that price cycles. It cycles up and it cycles down across all time frames and all charts and rarely, if ever, moves in a straight line.
Only time will tell for sure what price will do next...
We’ve combined Fibonacci levels with key support/resistance zones and trend analysis to pinpoint potential price levels of interest and future targets.
With precision-focused charts like these, both traders and investors can confidently build and execute their strategies.
So what's next?
We don't make predictions...
Nobody knows for sure but using these 5 price action tools traders and investors can develop levels of interest in both directions.
- Support/Resistance
- Trend
- Fibonacci
- Supply/Demand Zones
- Change Control Zones
ChartPros provides the exact methodology in its price action technical analysis courses to create charts like this with the most precise and accurate levels from which investors and traders can formulate their respective trade plans.
Take a look at the charts and let us know what you think. We'd like to hear from you in the comments sections.
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