Take a look at these Starbucks price levels when the shares drop according to disappointing results

Starbucks's shares fell on Wednesday after the coffee chain had achieved results in the second quarter that had not passed the expectations of the analysts.

The company stated that global sales with the same business fell 1% in the quarter, a larger decline than Wall Street expected. CEO Brian Niccol, who took on the role last September and started a large turnaround effort, described the results as “disappointing” in a conference conference on Tuesday.

In addition to the administration of strategic changes, the coffee gigant faces external challenges such as soft consumer expenditure and a potential increase in the price of the coffee beans in relation to the uncertainty that are imposed by the management of Trump.

The Starbucks shares went back by almost 7% at around $ 79 in the afternoon trade after they had dropped up to $ 75.50 at the beginning of the session. The share has dropped by about 13% since the beginning of the year and has lost a third of its value since he reached a 52-week high in early March.

In the following we open the technical data in Starbucks' diagram and identify the most important price levels that investors may observe.

Symmetrical triangle ceiling

After Starbucks had fallen crucially below the sliding 200-day average (MA) at the beginning of this month, it consolidated within a symmetrical triangle in order to signal the indecisiveness between the market participants before the company's quarterly income. However, the stock broke off early Wednesday under the lower trend line of the pattern and put the stage lower for a potential continuation of the sequel.

It is also worth noting that the 50-day MA is converged in April in the direction of the 200-day MA in order to signal a threatening cross to the Bärisches diagram pattern, which is expected to provide lower prices.

Let us identify two important support levels, in which Starbucks shares can arouse interest in buying and also find important overhead areas that are worth monitoring during potential recovery efforts.

To observe main support levels

The first level to be seen is 77 US dollars. In this place near the April low, investors can search for entry points that also match a short consolidation period that preceded a significant demolition gaps in the table last August.

The sale under this level could repeat Starbucks shares with 72 US dollars. This area in the table can arouse a interest in purchase near the prominent swing low in May and July of last year. The location is also near a measured movement goal, which calculates the width of the symmetrical triangle and pulls this quantity from the lower trend line of the pattern.

Important overall cost ranges that are worth monitoring

In the case of potential relaxation efforts, investors should keep an eye on the range of 91 US dollars. Tactical dealers were able to give up the sales orders in this region near the opening prize of the renegade gap last August, which corresponds to a withdrawal in the following month.

After all, a more important bullish reversal of Starbucks Shares could see test resistance at 99 US dollars. This area can deliver overhead sales pressure near a horizontal line that connects a number of peaks on the table between last August and early April.

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Until the date on which this article was written, the author has none of the above securities.