In Praise of Boring Old McDonald's

One of the accepted rules of trading states that "the trend is your friend". A good method for catching a trend is to buy a stock when its long-term 26-week EMA is sloping upwards and there is a concurrent pullback to its 22-day EMA. A beautiful example of a currently trending stock is McDonald's. I've posted its chart below.

Even as the broader market has been crushed in the past month, McDonald's has kept chugging along. Repeatedly pocketing a few bucks buying the dips to the 22EMA and selling at the top of the trading channel isn't as sexy as trading a high-flyer, but it's been easy to trade and ultimately that's what keeps the bread (and Big Macs) on the table.

All charts courtesy of http://stockcharts.com

First, the weekly:

Then the daily: