Very few companies dominate their sector the way McDonalds (MCD) does. They are almost 3 times bigger than their nearest competitor. In the fast food industry US brands dominate the world wide market and even McDonalds get 66% of their sales and 54% of their profits from overseas operations. Recently the stock has had a better than market return and has risen even in this shaky market as this hourly Barchart trading chart of the last months trading reveals:
Barchart technical indicators:
- In this market it's hard to find more solid technical indicators than MCDs
- 96% Barchart technical buy signal
- Trend Spotter buy signal
- The price is only 1.09% off its 1 year high
- Up 24.38% over the past year
- Trading above its 20, 50 and 100 day moving averages
- Relative Strength Index is 58.71% and rising
- Barchart computes a technical support level at 89.36
- Recently traded at 90.23 which is above its 50 day moving average of 87.09
Summary: If you add McDonalds (MCD) to your portfolio you won't be alone. The stock has double digit projections for increases in sales and earnings. If you enter at this price you won't get rich but you will make solid returns
Jim Van Meerten is a Marketocracy Master
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