Just watched this short q&a by Maria Bartolomo with the CEO of Starbucks (SBUX) which has earnings today.
Asked about lowering of prices in stores, the guy said due to excess inventory, SBUX is "responsibly" cutting the cost for the consumer. While smoothly dismissing the effect of the competition. And said SBUX is just "starting" to get on the global scene.
I thought almost 10 years ago was their height where they had a Starbucks shop in every corner, in every casino on the Vegas strip etc.
Well McDonalds has free internet in every shop now if someone needs it.
Doing some OJT on support and resistance plotting in charts. This will probably be a simple question for most here.
SBUX - Right now I am looking at a 3+ month chart of SBUX. It has been in an uptrend for a while. Recently there was a pull back from 59.30 to around 55. It bounced off of the $55 point and has resumed a higher trend.
OK So I drew my uptrending support line, and then drew my horizontal resistance line at $59.30.
If I was looking at options, (and if I had saw this when it closed above my uptrending support line) should I be looking at a September option at the $60 strike? If I am calling $59.30 near term resistance, should I only look at options below what I am calling resistance?
When I first looked at the chart, I couldn't really find a defined resistance point during the uptrend, except for when it hit that $59.30 point 3 times. I am predicting another test of that point.
Is there anything else that Im missing? Im sure there is.