MCD, McDonalds Corp.

mcd oct 26 2018 bmcd oct 26 2018 s

From the 2003 low near $10 one can count a 5-wave sequence into the Feb.  top earlier this year. Arguable it might not be complete as yet but the RSI is at a level that is roughly equal to the earlier top and is already at an extreme valuation. Furthermore with a p/e at 26x or so, double the “normal” level historically, this thing is ripe for a big adjustment.

    In any event, even if not yet entirely complete, the first target is at about $90 which constitutes a decline of about 50%, not a bad setup for a trade.