Earlier this week, Starbucks (SBUX) - Get Report closed at new rally highs. Since Tuesday's close, the stock has been trading rather heavily and is in danger of leaving behind an ugly spike high.

As this week comes to a close, Starbucks stock is stabilizing near Thursday's low, but further downside appears likely before shares regain their footing.

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Back in early November, Starbucks staged a powerful post-earnings upside reversal. By the close on Nov. 9, the stock was up more than 7% from the November lows. From that point on, Starbucks, along with the bulk of the market, was in full rally mode. The stock plowed through multiple layers of heavy resistance in the process.

By last week, shares had moved past the July high and appeared headed for a gap-fill move all the way up to the $60.50 area. This week, as momentum eased dramatically while the stock entered extremely oversold territory, a top appears to be forming.

The pullback that began Wednesday morning likely has more to go and, with it, a much lower risk entry opportunity.

In the near term, Starbucks bulls should not be surprised by further weakness. A dip down to the $57 to $56 area would test a key support zone that includes the September high, December low and 200-day moving average. Until this area is reached, Starbucks may prove to be a frustrating investment. 

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This article is commentary by an independent contributor. At the time of publication, the author was long SBUX.