What do Disney and Starbucks have in common? (October 13, 2015)
I want to get into Starbucks ( NASDAQ:SBUX ) here. I like this company. Check out this part of the chart. It’s interesting how this looks like Disney’s ( NYSE:DIS ), only there’s been a stark difference; Disney ( NYSE:DIS ) still has a lot of resistance to grind through. And by the way, this kind of looks like it could be moving higher, but this has been a slow move. Where as Starbucks ( NASDAQ:SBUX ) only very BRIEFLY fell below the 200-day moving average and now continues to move up.
My point is this, Starbucks ( NASDAQ:SBUX ) hit an all-time high yesterday. I would suggest crossing your fingers and hoping that this stock pulls back a couple bucks. It’s not likely to pull back a lot, but if it pulls back a couple bucks then you can buy this stock knowing that you’re not buying it at the very top. One thing, they report earnings on October 29th, that’s a couple weeks away, so the stock still has room to move higher. But I’m just telling you, I like this stock. I look at the weekly chart, very, very strong. It’s just not giving you a good entry right now.
But I would definitely suggest having some kind of position in this stock prior to earnings; remember in some of their stores now they serve booze. How can you beat that? Now you get jacked up on coffee and the have a couple pops, that’s all good. So there’s a lot of reasons to like Starbucks ( NASDAQ:SBUX ). There’s a lot of reasons to be optimistic about their earnings, not just on the third quarter but going into the rest of the year; remember the Pumpkin Spice coffer? A lot of good reasons to own Starbucks ( NASDAQ:SBUX ). Keep your fingers crossed for some kind of a pullback and I think that’s when you want to buy Starbucks ( NASDAQ:SBUX ).
Free Chart