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Patience in Starbucks (SBUX)

The share price of Starbucks (SBUX) has been trading sideways since 2016, roughly between 64 and 51.

Starbucks (SBUX) Weekly Chart

(click to enlarge)

Consolidation Range:
- This period of sideways trading might simply be a period of consolidation.
- SBUX was bullish going into this 2016-2017 consolidation range.
- Therefore, we should say that this market is sideways-bullish.
Playing Support:
- With the slight bullish bias in mind, we should respect the range support around 51, or even just above 52, where we see even more common support.
- But, don't be surprised if price reaches below 51 or even cracks below 50 briefly before pivoting back up.
- Still, that 50 level will be critical. A clear break below it would indeed usher in a bearish outlook.
Patience:
- I think a little more patience can be employed here for price to edge a bit lower so that the reward to risk for a buy is better. After all, we might have to put a stop below 50 ie. 48.
- The bullish targets from very (conservative to slightly aggressive) can be  58, 60 and 64. An aggressive target would be something above the 2017-high, above 64.87.
- With the 60 target for example, an entry around 52 with a stop at 48 yields a 2:1 reward to risk ratio.