Current trend

Shares of Starbucks Corp., one of the largest companies in the world that owns the coffee chain of the same name, have declined for the third month in a row.

During this time, the price reversed near the upper limit of the central Murray channel at 115.62 (Murray level [5/8]), went beyond the main Murray trading range and fell below 96.88 (Murray level [-1/8]), which opens the way for quotes to further decline to 93.75 (Murray level [-2/8]) and 90.62 (Murray level [-2/8], H4). The key for the "bulls" is the lower limit of the Murray trading range of 100.00 (Murray level [0/8]), supported by the middle line of the Bollinger Bands, when it is broken out, growth will continue to the area of 103.12 (Murray level [1/8]) and 106.25 (Murray level [2/8]).

Technical indicators point out a continuation of the decline: the Bollinger Bands and the Stochastic are reversing downwards, the MACD histogram is increasing in the negative zone.     

Support and resistance

Resistance levels: 100.00, 103.12, 106.25.

Support levels: 93.75, 90.62.

Trading tips

Short positions can be opened at the current price with targets at 93.75, 90.62 and stop-loss in the area of 97.80. Implementation period: 5-7 days.

Long positions can be opened above 100.00 with targets at 103.12, 106.25 and stop-loss in the area of 97.70.