Starbucks (NASDAQ: SBUX) stock price has closed two consecutive days with a loss. This negative price action comes after the stock surged more than 17% due to a very strong Q3 earnings report. However, the price has broken above a major resistance and more upside is still likely.
On Wednesday, the stock of the global coffee giant showed a very low volatility in the pre-market hours. The latest technical analysis reveals that while there is a strong chance of bullish continuation, bears still have a chance.
The daily chart of Starbucks shows that the bulls are targeting the price gap that lies above $109.72. There is a strong possibility of the price retesting this zone in the coming weeks due to a breakout above $102.6 resistance.
For Starbucks stock price to signal a proper bullish reversal, the price needs to flip the $102.6 into a support level. A failure to do so might make the current move a fakeout, with a possibility of a bearish move below $99.74, where lies another price gap.
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