Starbucks reports earnings after the bell this evening, and I am looking for the stock to avoid a massive Netflix or Apple type of move, to either direction. Mind you, I am not talking about taking an options position in Starbucks pre-earnings. Instead, I am simply looking for the current weekly chart pattern to remain intact.
Obviously, that is out of my control. However, should the stock see a benign reaction to earnings I am looking at SBUX as a long setup. On the updated weekly chart below, note the “three weeks tight” pattern of a mild consolidation after the strong breakout to begin 2013. A move back above $55.50 and especially $56 would be an excellent trigger for a long swing trader.
So here’s to hoping the night owls trading post-earnings this evening do not steal the show for Starbucks.
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