Starbucks (SBUX) continues to brew higher highs. Recently the stock was under pressure because their new pre-order mobile app was too successful. While it is a problem, it is a good problem. Perhaps this chart is suggesting a positive outcome with the long wait times? As technicians, breakouts to new highs are clues we like.
But the other underlying trend is lower coffee prices which are near 52-week lows. Pairing the late October high in Coffee with the 52 week low in SBUX, suggests this might be the influence.
The bottom line is Starbucks is making new highs and lots of preordered Macchiato's.
For the educational segment, the New Control Center on the Members Page has some very strong quick links. Erin Heim uses the Candleglance View on the MarketWatchers show Monday, Wednesday, and Friday at Noon EDT. This is a scrollable menu so make sure you look at all the links contained there. Scrolling down, you'll find CandleGlance.
When you click on it, you'll find 12 boxes giving you the current market status. Nice!
Good trading,
Greg Schnell, CMT, MFTA
