Shark Found In the Filet-O-Fish
- Posted by Greg Harmon
- on February 25th, 2013
With all the talk of horse meat found throughout Europe, I find it interesting that no one is talking about the Shark that can be found in McDonald’s ($MCD) the maker of Filet-O-Fish. Oh I don’t mean that they use shark to make their signature fish sandwich. The Shark is in the chart of the stock price. Take a look.
The chart above shows two potential paths for the Harmonic Shark Pattern to play out. The first, with the ultimate goal of 98.23 or a 88.6% retracement of the move lower from the top made in January 2012 to the bottom in June last year. The second carries that higher to a 113% retracement at 101.80. Both are in the cards and with a strong positive performance for McDonald’s with the broad tape close to 2% lower it is worth a closer look. Other technicals are also positive with the Relative Strength Index (RSI) bullish and rising and the Moving Average Convergence Divergence indicator (MACD) curling higher on the signal line and about to cross to positive on the histogram. The Bollinger bands are opening higher as well. There is a Measured Move higher to 102.70 and a Three Drives (using the 127% extension shown in the first two legs) to 105.27.
Join the Dragonfly Capital Views Premium Membership
Sign up here to get deeper analysis and nearly 50 trade ideas every week.
If you like what you see above sign up for deeper analysis and trading strategy by using the Get Premium button above. As always you can see details of individual charts and more on my StockTwits page.
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.blog comments powered by Disqus
Gregory W. Harmon CMT, CFA, has traded in the Securities markets since 1986. He has held senior positions including Head of Global Trading, Head of Product Development, Head of Strategy and Director of Equity. (More)
- Macro Week in Review/Preview July 25, 2014
- Premium Earnings 7-25-14
- Emerging Markets Are Just Getting Interesting
- Diagnosing CVS/Caremark
- Premium Earnings 7-24-14
- Fibonacci, Bats and Waves Point Much Higher for the Nasdaq
- The Shelves Are Packed at Walmart
- Premium Earnings 7-23-14
- What Does the VIX Say?
- Craving Some Tex Mex