January 6, 2010
Shares of Starbucks Corp (NASDAQ: SBUX) reached an important resistance level at $24.00 on December 18, 2009, but despite an up trending stock market over the past several weeks, Starbucks has been unable to surpass it.
The $24.00 level is also the 50% retracement for the entire Starbucks’ decline in the 2008-2009 bear market. If Starbucks shares have a chance of moving higher in coming weeks, this is a critical level that must be surpassed.
On Tuesday, January 5, Starbucks rallied back to the $24.00 level before pulling back to close at $23.59. It may be now or never for Starbucks.
A close above $24.00 should take this stock to at least $27.40 in coming weeks. A failure here could result in a bearish double top and lower lows ahead,
Disclosure: The Fibtimer.com (www.fibtimer.com) Stock Timing Strategy holds a position in Starbucks.