SRB trade ideas
SBUX - uptrend still intact (for now)Uptrend still intact unless we breach the near term support @ 84.
Bullish divergence is a harbinger that a near term bounce is in the works (note that any bounce from a bullish divergence is short term and may not translate into longer term trend).
Watch out for resistance at 90 as it may experience another consolidation around there.
A close above 90 will be a strong signal for the bulls.
Disclaimer: Just my 2 cents and not a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management is important! Take care and Good Luck!
Is Starbucks Shooting For The Moon? Starbucks had a good quarter in Q2 despite widespread shutdowns in its second-largest market, China. The company reported $8.15 billion in net revenue for a gain of 8.7% over last year which beat the consensus by $0.02 billion. The beat is slim but compounded by strength in the largest market, the U.S., and new store openings. On a comp basis, the global comp is up 3% on a 6% increase in ticket average offset by a 3% decline in tickets. In North America, sales rose 9% on an 8% increase in check average and 1% increase in volume while International sales fell 18% on a 44% decline in China. Ex-China, International sales rose by double-digits, driven by new stores and deeper penetration of emerging coffee markets.
SBUX - turned the cornerBroke out of a cup base @ 80 on 18 July, then pulled back and retested this neckline which now affirmed that this resistance has now become support.
Time to buy the dips (as long as it does not close below 80). RSI >60 showing good strength. However, be mindful that earnings is expected out tomorrow. Should there be a dip after earnings (but staying >80), it would be a good opportunity to initiate some position.
Disclaimer: Just my 2 cents and not a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management is important! Take care and Good Luck!
SBUX Target $107.5Since bottoming at $68.5 in May SBUX has made a series of higher lows and most recently a higher high. The ADX is confirming the uptrend since June when the D+ crossed D-. The OBV is also confirming the trend.
The most recent candle broke out of the weekly and daily descending trend lines and closed above the .618 Fibonacci level.
Short term and long term Force index cross is very bullish and the current price's proximity to the POC looks like a relatively safe entry as it represents the level at which the most shares have traded in the last 12 months ($79.26).
Assuming earnings are in line I anticipate a prolonged rally up the Fibonacci scale.
Targeting: $87.49, $92.64 $107.52