7/10 AMAZON 4200 JULYHey fellow traders,
Welcome back, I hope you are doing good.
Right here we can see Amazon, which is in very good shape...almost sexy! ;)
There is a Triangle forming, which is a bullish sign, especially at a record high.
Most of the time, the pennant leads to higher highs, which more or less is the height of the all-time high and the first low of the triangle.
Expecting 4200USD at a 25% rise, Amazon which had 106billion Q4 earnings in the year of Corona 2020, expected was 95, and which is in addition to this, the highest earnings for a single quarter...This is pure jet fuel to me.
Regarding the global change to digitality and a technoculture of digital payment, clouding, and online culture, I think Amazon will be and already is a giant forming and shaping the future of business.
Not just selling but creating marketplaces, being a service provider and a logistics monster, Amazon will do pretty good, at least this decade, that is FOR SURE in my humble opinion.
Anyway, getting back to technical analysis:
-As you can see, RSI (relative strength index), the "strength of the market" looking strong, being in a healthy uptrend, not being overbought or sold, pretty natural higher highs and higher lows, especially from September 2020 until today (February 2021).
-Volume pretty nice, too: We see high volume when the price rise from 1600USD (15. March 20) to 2400USD within 4weeks, and a little less but acceptable and confirmable volume, when the price hit the actual all-time high at 3500 (1. September 20). Right now, the volume is declining, which is a sign that market participants do not even think about shorting or selling this stock. In today's trading session (2. February) I heard not even one sell or short order was given in NASDAQ, only buyers or holders. Incredible.
-The triangle acts also like a bull flag from the recent leg up (1600-3500 15. march- 1.september 2020)
What do we wanna see?
-A break out of the triangle which already occurred and created a gap (could be closed in a single sharply in the coming days)
.Good volume while climbing to a higher high until July 2021.
The price target and the date range is because of historical data, which shows average length for price actions of this kind and estimated price ranges, because of a) the triangle and b) older moves of this stock, which are kind of similar.
Pew, this was a long one. But you are done, good job coming so far. And you know what didn't expect to write that much honestly haha ;-)
Anyway, hope this idea provides you with interesting information and data,
happy trading,
gqt
ps: Jeff Bezos is no longer CEO of Amazon. It the Head of Cloud Services Andy Jassy, which is there from the beginning. Jeff will be Chairman and will be looking over his shoulder, like Bill Gates does on Microsoft when he left it a while ago.
