Technical Earnings Preview: McDonald's testing support ahead of earnings
Price has been within a narrow bullish price channel since a new leg up began in late September. Shares are near the low of that price channel at the $164 area. If the news is a negative surprise, a drop below the channel low would break the current uptrend. Next support levels to watch as potential downside objectives would be at $159.59, $155.48, and the $150 area. A breakdown in price below the $150 area would break the long-term uptrend, which would be technically bearish for future price trend. If the news is a positive surprise, a test to the top of the channel at the $170 area would be highly likely. This would put price at a new all-time high. Without resistance, a run to the $175-$180 area could become the next technical upside test zone.