Bassman if you are still watching here, can you verify something for me please? In the attached chart of SBUX it appears to me that a Double Top is forming, lacking only a regression below that tilted line I've drawn? I was thinking it would take a bounce off of the lower trend line before completing the DT pattern, but with the low and deminishing volume that now seems doubtful....and if it breaks that tilted line, then we would expect to see further erosion in the stock price. Is that the way you read it?
I made a quick $3 the last trip off of the lower trend line up to the upper. Looking to accumulate back in if possible, but having doubts as I see what I view as a possible DT forming. Just curious if that is how you see it.
FYI - I have a few other charts I posted in the February market watch section in case anyone is interested
I took a look at SBUX from a different perspective - I found a breakout from a triangle pattern. It is currently holding in the gap-up area, which is usually an area of support. A close below the gap-up area would be a sign of weakness. The entire purple channel is considered the gap-up area, so it would close below the entire purple channel.
Last edited by Limit5Bass; 02-07-2013 at 05:15 PM.
Last edited by denco1; 02-07-2013 at 04:41 PM.
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SIRI seems to always find support, trying to close out at least even well off its low of 3.10.
Denco was right, headfake!