Starbucks reported its 2023 results. What next?Starbucks Corp. delivered a solid financial 2023 report. Revenue for Q4 of the 2023 fiscal year reached 9.4 billion USD, with a relative increase of 11%. Net profit per share for the same period increased by 39% to 1.06 USD. The company's management plans to maintain sales growth rates above 10% and net profit above 15%.
Therefore, today, we focus on the Starbucks Corp. (NASDAQ: SBUX) stock chart.
On the D1 timeframe, support has formed at 90.55, with resistance at 93.71, which was breached on Thursday, 2 November. Also, yesterday, a "descending wedge" pattern was breached, indicating a possible change in the trend to an upward one.
On the H1 timeframe, if there is a rebound from the 103.57 level, a new upward trend may begin, with a short-term target set at 107.38. In the medium term, the target for a price increase could hover around 110.84.
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SBUX trade ideas
'' Starbucks Is Going To Have Its Q4 Earnings Report Soon.''Hi its lubosi stocks.
and am here to talk to you about Starbucks. NASDAQ:SBUX
Starbucks is in a bear market.
Look at the chart above.
Starbucks is going to have its Q4 Earnings report soon.
Honestly, I don't know why it's in a bear market.
But this stock flashed on the proprietary trading system am using.
Will you sell it?
Disclaimer:Do not buy or sell anything i recommend do your own research before you trade.
Rocket boost this content to learn more.
Starbucks Could Be StrugglingStarbucks has drifted lower since May, and now traders may see further downside risk.
The first patterns on today's chart are the candlesticks on October 19 and October 25. SBUX tried to get above $95 but failed to close there in two separate weeks. Such price action could reflect selling pressure.
Next, the coffee chain stalled at a low from July 7. Has old support become new resistance?
Thereโs also potential confluence with the 50-day simple moving average (SMA).
Speaking of the 50-day SMA, it had a โdeath crossโ under the 200-day SMA in July. That could indicate a bearish trend over the longer term.
This chart includes our 2 MA Ratio custom script in the middle study. It shows that the 8-day exponential moving average (EMA) crossed below the 21-day EMA on Friday. That could suggest the short-term trend is turning bearish as well.
The most recent sessions also featured a potential bearish flag breakdown.
Finally, stochastics are dipping from an overbought condition.
Traders could focus on these signals with earnings due on Thursday, November 2.
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SBUX - D1\W1SBUX
W1 - The 4th wave is forming, which can lead to a continuation of the downward movement, but it is also clear that the price, after fixing the level, has formed a reversal pattern on D1, which can lead to a strong correction.
D1 - Formation of a three-wave structure, you can try to consider buying from the level of 94.00. Locally to levels 101.76. If the price can gain a foothold at the level of 94.95, we can expect the movement to continue.
What can you expect?
You can consider entering from the level of 94.00 (you can consider breaking through the level or fixing the price behind this level) with further movement to the target 101.76. Cancel the idea so as not to take increased risk from the level of 90.74 . There may also be a false breakout of this level and continuation of the upward movement - in this case, it will be necessary to wait for a clear formation to continue the downward movement.
Targets 94.95 - 96.99 - 98.83 - 101.76
Expansion Efforts Aid Starbucks (SBUX)Starbucks Corporation SBUX is capitalizing on its expansion initiatives and strong North America comparable sales. Nevertheless, disappointing Channel Development sales and rising inflationary costs are challenges. Over the past year, the stock has risen by 6.1% compared with the industry's 8% growth.
The Zacks Rank #3 (Hold) companyโs earnings and sales in fiscal 2023 are likely to witness jumps of 16.9% and 11.1% year over year, respectively. SBUX also has an impressive long-term earnings growth rate of 16.5%.
STARBUCKS It isn't time for coffee yet..The Starbucks Corporation (SBUX) has been declining aggressively since early May 2023 as fundamentals failed to keep the mid-2022 rally going. Now there are heavy technicals for the stock to consider as last month (chart on the right) it closed the 1M candle below the 1M MA50 (blue trend-line) for the first time in 11 months. On the weekly (chart on the left), it is already below both the 1W MA200 (orange trend-line) and 1W MA50 (blue trend-line).
The long term pattern since the March 2020 COVID crash is a Triangle and the current Support is its Higher Lows trend-line. The 1W RSI also has a Higher Lows trend-line to consider, so we will wait for a test and clear rebound on the former. On the 1M time-frame, it's the 1M MA100 (green trend-line) that was touched during the previous two Higher Lows and provided a strong rebound and bullish reversal as it rose and left a big candle wick behind, emphatically indicating the presence of long-term investors. Similarly the 1M RSI has a Support Zone to consider. We think it is possible for both the 1W and 1M RSI to touch its respective Support levels sideways as the price's drop decelerates near the Higher Lows.
In conclusion our Buy Zone is within the Higher Lows trend-line and the 1M MA100. The target will be the Lower Highs trend-line at $105.00.
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SBUX PINBARHere is one of my most explosive setups, the Pinbar. A bullish Pinbar on a HTF chart tells us that sellers tried pushing price lower but failed miserably due to a strong surge in buyers taking control and this is also confirmed by the CVol + The inverse head and shoulders on the LTF (5m). If you look at the 5m charts volume the last bar was much more noticeably larger than every proceeding volume bar which can be an indication to investors outlook on the next trading day.
SBUX looks ready to dumpSBUX doesn't look good for bulls.
We see a head and shoulders pattern, but frankly speaking, SBUX looks so bearish now that entering short now may be not a bad idea.
However , in order to take a short position based on the confirmation, it's better to wait for a neckline (support) breakdown.
2 targets are shown on the chart.
Stop loss: 106$
H&S forming on $SBUXLike many other stocks a H&S in forming here as well. If completed (still need to break the neckline) the price target is compatible with the May '22 lows. This could be a good opportunity for dollar-cost-averaging at the various horizontal sub-levels if you are looking for an entry
SBUX Entry, Volume, Target, StopEntry: with price below 93.91
Volume: with volume greater than 7.825M
Target: 88.98 area (this is an area, no guarantee it reaches this price, but you should be selling on the way up)
Stop: Depending on your risk tolerance; Based on an entry of 93.70, 96.06 gets you 2/1 Reward to Risk Ratio.
This SHORT swing trade idea is not trade advice and is strictly based on my ideas and technical analysis. No due diligence or fundamental analysis was performed while evaluating this trade idea. Do not take this trade based on my idea, do not follow anyone blindly, do your own analysis and due diligence. I am not a professional trader.
Assessment of Starbucks' (SBUX:NASDAQ) Stock PerformanceAssessment of Starbucks' Stock Performance Since Q3 Earnings Release
Since its Q3 earnings release on August 1, Starbucks' stock has exhibited a sideways trading pattern, experiencing a modest decrease of 2.7%. This movement prompts a closer examination of the company's value proposition in light of the current market conditions.
Undervaluation of Starbucks' Strong Value Proposition Amid Uncertainty
Amid the prevailing atmosphere of uncertainty in the market, it appears that Starbucks' robust value proposition might be undervalued. The company's established brand, widespread global presence, and resilience even in challenging times could potentially position it as a more attractive investment opportunity than its current market perception suggests.
Consideration for Conservative Investors with a 1-Year Horizon
For investors with a conservative stance and a horizon of one year, Starbucks (SBUX) emerges as a promising investment option when compared to a 5% Treasury bill. While the stock has experienced a minor downturn, its potential for recovery and growth over a 12-month period offers a potential upside that could outweigh the conservative returns of a Treasury bill.
Starbucks as a Secure Cash Position for Growth-Oriented Investors
Growth-oriented investors seeking a secure haven for their funds have the opportunity to consider Starbucks as an excellent cash position. With the potential for a notable 10-20% upside, Starbucks could serve as a strategic location to allocate funds, allowing investors to benefit from both the safety of a stable investment and the prospect of substantial growth.
Win-Win Potential for Various Investor Profiles
In summation, Starbucks' stock performance and value proposition present a win-win scenario for investors across various profiles. Conservative investors can potentially experience superior returns compared to traditional low-risk options, while growth-oriented investors can find a safe harbour that aligns with their quest for higher returns. This positioning within the market indicates the potential for Starbucks to deliver favourable outcomes for a diverse range of investors.
This content is provided for general information purposes only and is not to be taken as investment advice nor as a recommendation for any security, investment strategy or investment account.
๐๐ #ChartPattern Alert! ๐๐ ๐ Falling Wedge ๐๐๐ #ChartPattern Alert! ๐๐
๐ Falling Wedge ๐
๐ What is a Falling Wedge? The Falling Wedge is a bullish chart pattern characterized by two converging trendlines, with the lower trendline sloping upward more than the upper trendline. It typically signals a potential bullish reversal, with the price likely to break upward after the wedge pattern.
๐ How to Identify:
Draw a trendline connecting at least two higher highs (upper trendline).
Draw another trendline connecting at least two higher lows (lower trendline).
๐ What it Signals: The Falling Wedge suggests a potential bullish reversal, with buyers gaining strength as the price reaches higher lows within the wedge. It often forms during downtrends and can precede a significant price move to the upside.
๐ Trade Strategy:
Consider buying when the price breaks above the upper trendline of the Falling Wedge.
Set profit targets based on the pattern's height added to the breakout point.
Implement a stop-loss to manage risk in case of a false breakout.
Remember to validate your analysis with other technical indicators and conduct thorough research before making any trading decisions. Happy charting and trading! ๐๐น
The market just doesn't like itAnother HS is building up here. The break down will be violent, I think it just need a couple of weeks to get the target. I don't think that support at 96 will hold for much longer, too much bearish pressure. It could make a last pull back, is it does I'll add to my short position.