C, SBUX update 08/03

C: Counts best as completing minor-5 of intermediate-iii of major-5. Needs 1 or 2 more scribbles up to complete, but can also be complete already. I expect intermediate-iv to bottom at around $64-$63, with a quick and fast intermediate-v to follow. Remember that banks often set the tone for the market. Once banks top…

C daily

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SBUX: Due to earnings response last week, I had to redo the entire count as the Bullish 1,2,i,ii set up has been invalidated. Stocks hardly ever retrace 99.99% off their prior 1st wave, which would have in that case started from the $53.30 low in early February (red b; with the black [major-b] high being all of intermediate i, and the black a being major-1). Thus the whole advance simple counts better as a 5-3-5 corrective b-wave (major-b) of an ongoing primary IV wave.

SBUX daily

The monthly chart below shows the abc up much better. If correct I expect the current b-wave to travel to about $57 (retest of the 200d SMA it broke below; which by itself is very bad news for any stock); and then a c-wave down to either the start of wave-a ($50ish; see daily chart above); or an extension with a target of $45ish. Note that the ideal wave-IV target zone is $46.25-$40 using the standard 23.6-38.2% retraces for 4th wave.  For now I am short term bullish on SBUX (it gave an ideal A.I. buy signal on the daily) but bearish intermediate term.

sbux monthly