MCD short trade follow up

We took out a short trade on MCD on 7/22 based on this post

Here are the charts...

 This short was after MCD's earnings pop and at the red arrow.

 The daily chart looks bad so I think MCD will start topping soon, which is usually a volatile affair.

 The hourly chart was telling us there would likely be selling into the gap up, which there has been.

 The 15 min chart helped us time the entry.

 However, as you can see now there's a bullish descending wedge, that looks ready to make an upside move, we may see a downside head fake first.

 The 15 min chart recently is positive, combined with the wedge, I think up is the short term path of least resistance.

The 5 min chart shows the move is close.

Personally I'd take the small profit here and re-establish the short at higher levels. The disposition of the longer term charts look like MCD has reached a top, but with these signals, that doesn't mean we can't see some counter trend volatility to the upside.


Let me know if you like these smaller charts better. Remember you can always click on the chart for an enlarged view.