Good technical signals and a possible breakout for STARBUCKS CORP.

Our stockscreener has identified a possible breakout setup on STARBUCKS CORP (NASDAQ:SBUX). This occurs when the stock consolidates following a significant upward movement. While the breakout outcome cannot be guaranteed, it may be worth monitoring NASDAQ:SBUX for potential opportunities.

What is the technical picture of NASDAQ:SBUX telling us.

ChartMill assigns a Technical Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple technical indicators and properties.

We assign a technical rating of 7 out of 10 to SBUX. This is due to a decent performance in both the short and medium term time frames. Compared to the overall market, SBUX is only an average performer.

• Both the short term and long term trends are positive. This is a very positive sign.
• When comparing the performance of all stocks over the past year, SBUX turns out to be only a medium performer in the overall market: it outperformed 47% of all stocks.
• SBUX is an average performer in the Hotels, Restaurants & Leisure industry, it outperforms 50% of 135 stocks in the same industry.
• SBUX is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so SBUX is lagging the market.
• In the last month SBUX has a been trading in a tight range between 93.76 and 99.15.

Our latest full technical report of SBUX contains the most current technical analsysis.

Why is NASDAQ:SBUX a setup?

ChartMill takes into account not only the Technical Rating but also assigns a Setup Rating to each stock. This rating, on a scale of 0 to 10, reflects the degree of consolidation observed based on short-term technical indicators. Currently, NASDAQ:SBUX exhibits a 9 setup rating, indicating its consolidation status in recent days and weeks.

Besides having an excellent technical rating, SBUX also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 95.47. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 95.26, a Stop Loss order could be placed below this zone. Very recently a Pocket Pivot signal was observed. This is another positive sign.

Trading setups like NASDAQ:SBUX

To potentially initiate a trade, it is common practice to wait for the stock to break out of the consolidation zone. This breakout signifies a potential upward movement, and traders may enter the stock at that point. Conversely, if the stock falls back below the consolidation zone, it may be sold at a loss.

Please note that this article should not be construed as trading advice. The information provided is solely based on automated technical analysis and serves to highlight technical observations. It is important to conduct your own analysis and make trading decisions based on your own judgment and responsibility.

Our Breakout screener lists more breakout setups and is updated daily.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.