AMZN: What's next?
Hello traders and investors! As a request from katgold, we will study AMZN today! And surprisingly, the situation is quite simple.
We have a clear resistance at the ATH, which is the black line. But we have an upwards trendline supporting the price as well, which makes something like an Ascending Triangle chart pattern.
Normally, Ascending Triangles are bullish patterns, especially in a bullish trend. Also, the volume decreased a bit in the last days, which is an indicator of a simple correction. And now the stock is going up, the volume is confirming the trend, accordingly to the Dow Theory 5th tenet.
If I had to do something here, I would buy, especially if it gets closer to the purple trendline. If I were already in a trade, the stop-loss would be in the hourly chart:
Since we are close to the ATH, I prefer to set a trailing stop in the previous supports/resistances zones, like this red line around 3244. If it closes under it, just book your profits. Of course, you may get out of the trade if AMZN loses its trendline in the daily chart, but I think that would requires some guts.
The only thing that bugs me on AMZN is that the weekly chart is too stretched, and you can’t complain if you see a pullback to its 21 ema:
But again, the trend is bullish, so, any pullback is just opportunity to buy. I see no clear targets for Amazon, but I would keep my eye open if it hits the ATH again. And I would just follow the strategy I mentioned above to keep myself in the trade if the trend continues. Nobody knows where Amazon will stop!
This is my view for Amazon, and if it helped you, remember to support this idea! And you are invited to follow me to keep in touch with my daily analyses!
Recent public trades (links below):
XP: +30%
AAPL: +10%
LB: +45%
UKOIL: +62%
Congratulations to all of you, my dear subs, who believed in my trading methodology, and challenged the world by being a bull! We deserve to celebrate!
BECOME A MEMBER!
Remember to follow me, I’m a trader who uses the classic technical analysis (barely any indicator, just the candles and the volume). Like this idea if it helped.
Thank you very much.
* LIKE this idea and FOLLOW me, because:
- Here, you will see clean charts;
- Trades with clear risk management;
- The best of Dow Theory, Price Action and Candlestick psychology;
- Chart patterns with statistics. *
* My name is Nathan, I'm a trader and portfolio manager and I'm here to LEARN. Leave your COMMENT and FOLLOW me to keep in touch. *
We have a clear resistance at the ATH, which is the black line. But we have an upwards trendline supporting the price as well, which makes something like an Ascending Triangle chart pattern.
Normally, Ascending Triangles are bullish patterns, especially in a bullish trend. Also, the volume decreased a bit in the last days, which is an indicator of a simple correction. And now the stock is going up, the volume is confirming the trend, accordingly to the Dow Theory 5th tenet.
If I had to do something here, I would buy, especially if it gets closer to the purple trendline. If I were already in a trade, the stop-loss would be in the hourly chart:
Since we are close to the ATH, I prefer to set a trailing stop in the previous supports/resistances zones, like this red line around 3244. If it closes under it, just book your profits. Of course, you may get out of the trade if AMZN loses its trendline in the daily chart, but I think that would requires some guts.
The only thing that bugs me on AMZN is that the weekly chart is too stretched, and you can’t complain if you see a pullback to its 21 ema:
But again, the trend is bullish, so, any pullback is just opportunity to buy. I see no clear targets for Amazon, but I would keep my eye open if it hits the ATH again. And I would just follow the strategy I mentioned above to keep myself in the trade if the trend continues. Nobody knows where Amazon will stop!
This is my view for Amazon, and if it helped you, remember to support this idea! And you are invited to follow me to keep in touch with my daily analyses!
Recent public trades (links below):
XP: +30%
AAPL: +10%
LB: +45%
UKOIL: +62%
Congratulations to all of you, my dear subs, who believed in my trading methodology, and challenged the world by being a bull! We deserve to celebrate!
BECOME A MEMBER!
Remember to follow me, I’m a trader who uses the classic technical analysis (barely any indicator, just the candles and the volume). Like this idea if it helped.
Thank you very much.
* LIKE this idea and FOLLOW me, because:
- Here, you will see clean charts;
- Trades with clear risk management;
- The best of Dow Theory, Price Action and Candlestick psychology;
- Chart patterns with statistics. *
* My name is Nathan, I'm a trader and portfolio manager and I'm here to LEARN. Leave your COMMENT and FOLLOW me to keep in touch. *
⚠️ Want to take your trading to the next level?
👉 Join the Finance Hydra VIP Mentorship - 6 weeks of mentoring with weekly meetings and ongoing support. Limited places available!
✅ Find out more and sign up: thefinancehydra.com/
👉 Join the Finance Hydra VIP Mentorship - 6 weeks of mentoring with weekly meetings and ongoing support. Limited places available!
✅ Find out more and sign up: thefinancehydra.com/
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.