McDonald’s Corp.: wave analysis 15 May 2018, 09:36

McDonald’s Corp.: wave analysis

15 May 2018, 09:36

Scenario
Timeframe	Weekly
Recommendation	SELL
Entry Point	164.67
Take Profit	157.40, 154.90
Stop Loss	167.17
Key Levels	154.90, 157.40, 167.17, 178.80

Alternative scenario
Recommendation	BUY STOP
Entry Point	167.20
Take Profit	178.80
Stop Loss	163.35
Key Levels	154.90, 157.40, 167.17, 178.80

The price can fall within the correction.
On the 4-hour chart, the development of the downward correction as a fourth wave 4 of the higher level has ended. Locally the formation of the fifth wave has begun, within which the development of the first wave of the lower level i of 5 as a wedge has ended. If the assumption is correct, the price will fall within the wave ii of 5 to the levels of 157.40–154.90. The level of 167.17 is critical and stop-loss for this scenario.


Main scenario
Short positions will become relevant below the level of 167.17 with the targets at 157.40–154.90. Implementation period: 5–7 days.
Alternative scenario
The breakout and the consolidation of the price above the level of 167.17 will let the price grow to the level of 178.80.