Starbucks Mirroring 2013 Upmove, Second Wave Aiming for $97
Price has been trading steadily within a long term bullish Uptrend Channel, since Jan 2011 up till today (24 July 2014)
Price has recently trace from High of around $81.00 (26 Nov 2013) and found support along the Uptrend Channel Line.
We also note a minor double bottom (31 Jan 204 - 16 May 2014) within the Channel. This indicates a reversal of the bearish retracement move, for a continuation of the general uptrend
We note a similar double bottom (06 Aug 2012 - 22 Oct 2012) within a trend channel, which leads to price reaching around $81.00 (06 Nov 2013). We project that the price action now will attempt to proportionately replicate this upward movement once more, leading to a breakout.
For price to breakout, it must successfully trade and sustain above the resistance band between $81.60 to $80.00
Theoretical Price Projection:
$97.36 ( Proportional Projection of Retracement/ Up move)
Time Span: Price should complete the up move by 30 Jan 2015
Price will also most likely respect and trade within the Uptrend Channel line, until a reversal pattern forms.
Risk: There is a risk of bull trap, whereby price breaks slightly above the Resistance Band,
trade back below 80.00 to form a Double Top Reversal pattern to reverse the uptrend.
Like It, Share It, Follow It~
Price has recently trace from High of around $81.00 (26 Nov 2013) and found support along the Uptrend Channel Line.
We also note a minor double bottom (31 Jan 204 - 16 May 2014) within the Channel. This indicates a reversal of the bearish retracement move, for a continuation of the general uptrend
We note a similar double bottom (06 Aug 2012 - 22 Oct 2012) within a trend channel, which leads to price reaching around $81.00 (06 Nov 2013). We project that the price action now will attempt to proportionately replicate this upward movement once more, leading to a breakout.
For price to breakout, it must successfully trade and sustain above the resistance band between $81.60 to $80.00
Theoretical Price Projection:
$97.36 ( Proportional Projection of Retracement/ Up move)
Time Span: Price should complete the up move by 30 Jan 2015
Price will also most likely respect and trade within the Uptrend Channel line, until a reversal pattern forms.
Risk: There is a risk of bull trap, whereby price breaks slightly above the Resistance Band,
trade back below 80.00 to form a Double Top Reversal pattern to reverse the uptrend.
Like It, Share It, Follow It~