In today’s Super Seasonals: Trade of the Week we will look at Yum! Brands Inc. (YUM).
Yum! Brands, Inc. is a service restaurant company, which engages in the development, operation, franchise, and licenses of a system of restaurants. It operates through the following segments: KFC Division, Pizza Hut Division, Taco Bell Division, and Habit Burger Grill Division.
Below are the seasonal patterns that the software uncovered…
Below is a look at the past 20 years of key stats…at a glance, the average ‘mean’ move up is about +15% until early May.
Below is a look at the Cumulative Chart move over the past 20 years…the bullish trending patterns clearly stick out.
Below is a look at Competitor Seasonality. They have a tendency to go up during the coming week and run for various Durations…
Fair Value Gaps (FVG) are price gaps that occur when there is a significant difference between the closing price of one trading and the opening price of the next, with minimal or no trading in between.
- FVG’s occur when there’s a significant price difference between the close of one period and the opening of the next, signaling market inefficiencies.
- Bullish gaps indicate potential upward momentum, while bearish gaps suggest potential downward pressure.
- FVG’s can become a magnet for the price before continuing in the same direction.
In the chart below, the FVG’s might be signaling that YUM could continue higher…
As you likely know, there are literally dozens of solid ways to approach trading Yum! Brands Inc. (YUM) with a bullish bias. The decision of how to best invest in the stock or trade the options is an individualized decision, unfortunately there is no one best way. Keep in mind that seasonality is about probabilities, not certainties. Please remember to fully understand the risk before trading anything. It’s recommended to do your own research and consider consulting with a financial advisor before investing in any stock or options trade.
To learn more about seasonal information on other solid opportunities, click here SuperSeasonals.
Trade Smart,
Chad Shirley
