SBUX (Long)...

I don't drink the coffee, but with today's powerful move, I'll start drinking the Kool Aid from SBUX. They reported earnings and the market clearly liked what it saw. The bulls did not let up today, either, as the stock went out right at its highs for the day, a clear show of strength. I'm not going to chase this thing up here, but on a nice, low-volume pullback towards today's low (call it $16), I'll be looking to get long. I would expect it to need some time to consolidate today's big move, so I'll be patient here. However, if it falls below today's low, it will fill that gap and that will take the stock back into congestion, which would tell me the bulls aren't quite ready to run higher with it. I don't expect it to happen, but I would use today's low just under $16 as a stop loss.



Position: none