• Chart of the Day – Reader Request Edition: Starbucks Corporation (SBUX)

    by  • December 6, 2012 12:12 pm • Quick Hits • 0 Comments

    Today’s chart comes courtesy from a few reader requests for Starbucks Corporation (SBUX) which operates as a roaster, marketer, and retailer of specialty coffee worldwide. As of September 30, 2012, the company operated 9,405 company-operated stores and 8,661 licensed stores.

    Ticker:  Starbucks Corporation (SBUX)

    What I Am Looking At:

    • Having a decent year, up over 16 percent year-to-date, performing slightly better than the S&P 500
    • Strong upside gap in beginning November on better than expected earnings
    • Raises forecast on strong sales and plans for 1,300 new stores in 2013
    • Positive sign to see shares breaking out from November 2nd gap day’s range
    • Also, breakout level has been significant resistance this fall and former support area from the summer
    • 200-day moving average breach
    • Heavy bought-to-open calls for December expiration reside at the 52.5-strike, which was clearly broken this morning resulting in a delta-hedging rally
    • 10-day buy-to-open put/call ratio 1.22, ranks in the 91st percentile, indicating a strong preference for puts
    • 8 out of 24 analysts still maintain “hold” ratings, potential for further upgrades
    • All-time high made in mid-April at $62.00, next intermediate-term target

     



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    About

    Tony Venosa, CMT is a Senior Options Strategist and works on the trading desk at Schaeffer’s Investment Research. He joined Schaeffer’s in 2010. He has worked in the finance industry for over 15 years. He began his career as a trading assistant in Chicago on the floor of the Chicago Mercantile Exchange. He later moved upstairs and worked as a commodities broker on both the retail and hedging side. He left the brokerage industry to begin his trading career as a proprietary equities trader at a Chicago firm. In 2000, Tony moved backed to his hometown and continued trading his personal account. He later went on to earn his Chartered Market Technician designation. He earned a B.S. in Finance from Miami University. Tony’s main focus is short-term directional option trading.

    http://www.schaeffersresearch.com/

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