Stock of the day: Starbucks

Today, we’re going to update you on the situation with Starbucks, which we mentioned just a few days ago, on November 3^rd. Back then, we were bullish, highlighting a very promising false breakout pattern:

“With all this said and done, we’re back into green territory and a buy signal stays here. As long as we remain above the neckline.”

We did remain above the neckline and the price did climb higher. Also, a new pattern emerged – the flag – which is a trend continuation formation (black). On Friday, the price broke the upper line of the neckline, which effectively triggers another buy signal for us. Or confirms the old one, whichever way you choose to see it.

Price Action favors buyers here. We have a failed H&S pattern and we have a working flag formation. So if you’re on the  hunt for clean setups, Starbucks is definitely one that should catch your eye.