The central defender has been training with Wolves during pre-season after being released by Celtic at the end of the last campaign.
A move to Birmingham City failed to materialise and Balde has been looking to prove his fitness with fellow Premier League new boys Wolves.
He has featured in the club's pre-season friendlies and McCarthy has been in no rush to make a decision on a contract for the 33-year-old.
However, with Wolves due to face West Ham in their opening game of the season on Saturday, McCarthy is now ready to decide on Balde's future.
"By his own admission, Bobo was behind the rest of the players in terms of fitness when he arrived," said McCarthy.
"He will train with us again this week and then we will decide."