Amazon (AMZN)Amazon stock is down 9.7% from its recent highs, and is moving into the correction zone.
Analysts are quite bullish on AMZN heading into the Q2, covering the stock have rated it as a Strong Buy.
AMZN trade ideas
Amazon LongAmazon current on Weekly Demand Zone 160 Level
Amazon Qtrly & 6 Month Demand Zone 146 Level
Year -Monthly - Qtrly Trend Up
146-165 all are Buy Zone with 6 Month -12 Month
Expecting 240 Level as Target
$AMZN Had a 20% CorrectionIf you measure the high to move on NASDAQ:AMZN , we actually had a full 20% correction on this stock. These declines are developing into bear market numbers.
Amazon Shares Tumble After Disappointing Third-Quarter OutlookAmazon shares ( NASDAQ:AMZN ) took a significant hit on Friday, dropping over 9% following a mixed second-quarter earnings report and a disappointing forecast for the upcoming quarter. The e-commerce giant reported a revenue miss, causing concerns among investors and leading to a substantial sell-off in its stock.
Second-Quarter Performance
In the second quarter, Amazon's revenue rose 10% year-over-year to $147.98 billion, falling slightly short of the $148.56 billion projected by analysts. Despite this, the company's net income nearly doubled from the previous year, reaching $1.26 per share, surpassing the expected $1.03 per share. This increase in net income highlights Amazon's successful cost-cutting measures, which have strengthened its bottom line.
Third-Quarter Outlook
Amazon's forecast for the third quarter has added to investor concerns. The company expects revenue between $154 billion and $158.5 billion, with the midpoint of $156.25 billion falling short of the consensus estimate of $158.24 billion. This cautious guidance has been attributed to slower sales in Amazon's core retail business and an unpredictable news cycle that has distracted consumers, causing them to delay purchases or abandon their shopping carts.
Market Sentiment and Analyst Reactions
Amazon CFO Brian Olsavsky pointed to several factors contributing to the weak forecast, including the upcoming Olympics, the presidential election, and high-profile events such as the attempted assassination of former President Donald Trump. These distractions have made it challenging to predict consumer behavior accurately.
Despite these challenges, analysts remain optimistic about Amazon's long-term prospects, particularly its cloud computing segment, Amazon Web Services (AWS). AWS reported revenue of $26.3 billion in the second quarter, exceeding expectations and demonstrating continued growth. Analysts at JPMorgan and BMO Capital Markets have expressed confidence in AWS's potential, noting that it is well-positioned to benefit from increased cloud adoption and modernization efforts.
Key Technical Indicators and Market Reactions
From a technical perspective, Amazon's stock has exhibited several bearish signals. A bearish engulfing pattern formed on the chart leading into the earnings report, indicating a potential shift in market sentiment towards lower prices. Investors are now closely monitoring key support levels, including $170, $161, $145, and $123, to gauge the stock's next moves.
The broader market has also reacted negatively to Amazon's earnings and guidance, with major indices such as the Nasdaq Composite and S&P 500 experiencing significant declines. Concerns over weaker economic data, including a disappointing jobs report, have added to market volatility, further impacting investor sentiment.
Conclusion
Amazon's recent performance has highlighted the challenges it faces in its core retail business amidst an unpredictable economic environment. While the company's cloud computing segment continues to show strength, the mixed results and cautious outlook have led to a substantial decline in its stock price. Investors and analysts will be watching closely to see how Amazon navigates these challenges and whether it can maintain its growth trajectory in the coming quarters.
Overall, the current market conditions and Amazon's performance underscore the importance of monitoring both fundamental and technical indicators to make informed investment decisions. As the company continues to adapt to changing consumer behaviors and economic conditions, its ability to leverage its strengths and address its weaknesses will be crucial in determining its future success.
Amazon's Uptrend BrokenThe AMZN stock started the week green, looking pretty good, but it is set to close on a very strong bearish note...
Good Friday my dear friends, it seems the start of the bear-market is here for stocks .
➖ This week marks the fourth week where AMZN closes red. And interestingly enough, the past month of bearish action produced the strongest red candles since mid-2022.
Let's keep this one simple:
👉 Amazon is set to move much lower, hitting maybe 130 in a matter of weeks and reaching as low as ~100 in several months.
The entire market is intricately connected; what one does, the rest tends to follow.
This is a true statement and can be confirmed by looking at other stocks.
TSLA, NVDA, GOOG and the rest, are also set to crash.
A 20% drop within 4 weeks is already pretty strong, but you can be sure that this is only the beginning... Amazon is set to continue dropping more and more and more.
Namaste.
BEAR CYCLICAL MARKET / AUG 2024 TO JAN 2025Elections, Wars on the horizon, Covid Part 2, and Ichimoku signals, within a cyclical pattern, combined with the rising volume average selloff shows a bear market till Jan 2025. Tight your belts. Short sellers will be very happy.
amzn bull put spreadI LOVE The selling. AND THIS IDEA is over earnings. I DO PLAN on it being a slightly volatile spread, but with any buying or resting, theta should take over and the 200 SMA will slowly creep up.
This has MANY check marks and should work nicely
AMZN June 17, 2024: A Buy Point at A New HighAt the close of June 16, 2024, NASDAQ:AMZN was at a new high entering $2T club.
I am opening a new position here with the target price of $230 (20% from the base)
AMZN: Post Earnings UpdateAMZN posted earnings this evening and has fallen close to the 1.618 fib retracement of 168. The lower monthly bollinger band shows support around 170, but that can change quickly if the entire market starts to ramp up selling.
PT1 is 166, PT2 161
AMAZON PUTS LONG TERM*I am in no way a financial advisor and you should always do your own due diligence before placing any trade. Do not trade what you are not comfortable with losing. No trade is guaranteed.
Prices are at a high and price needs to correct massively. Price should fall to strong support area and buyers should be able to pick their momentum back up in strong support area. Use proper risk management.
Amazon JungleWas waiting to see if the blue curve holds in this project in order to decide to post these simulated projections that take into account potential pivot points, reversals, or zones for support/resistance and BREAKOUTS... in either direction, even though I am slightly bullish biased on this one.
I have this scenario in mind where this could find support somewhere at the white or continuing on the blue or towards the red for a more decisive push in case the Earnings don't upset the whole harmony in this picture.
If everything goes to pieces will be having an eye for the possibility of the blue curve becoming resistance with a retest.
Other lower probability scenarios are some impact zones around the green and purple rectangles. If the prices reaches the top curves it would be only as a reference to see the price action around them for potential validation of the simulation.
Earnings Expectation For July 30th Investors, mark your calendars! A mix of high-profile companies are set to report their quarterly results today. Let's take a quick dive into what's expected:
Apple (AAPL 🍏)
The tech giant is anticipated to report an EPS of 1.20 and a revenue of 88.90B. With a historical beat rate of 80%, can Apple continue to exceed market expectations?
Microsoft (MSFT 🖥️)
Expected to post an EPS of 2.35 and a revenue of 56.60B, all eyes are on Microsoft as they hold an impressive 85% beat rate. Will they keep up the momentum?
Amazon (AMZN 📦)
Amazon is set to announce an EPS of 0.52 and a revenue of 110.20B. With a beat rate of 75%, investors are keen to see if Amazon can surpass these forecasts.
Alphabet (GOOGL 🌐)
The search engine leader is projected to deliver an EPS of 1.50 and a revenue of 63.50B. Holding a 78% beat rate, will Alphabet hit the mark?
🔍 As these giants reveal their financial health, it's not just about the numbers but also the story they tell about the consumer market and economic trends. Keep your portfolios ready for any surprises!
#EarningsSeason #StockMarket #InvestmentInsights
AMZN - LONGSupport and down leg breakout with what looks like selling climax. $195+ target soon.
The expectation for Amazon's next earnings report, scheduled for August 1, 2024, is generally bullish. Analysts anticipate significant year-over-year increases in both revenue and profit. The consensus estimate for earnings per share (EPS) is around $1.06, compared to $0.84 in the previous quarter. Revenue is expected to rise to approximately $166.19 billion, up from $142.63 billion in the same quarter last year.
Several factors contribute to this optimistic outlook. Amazon's advertising business is projected to grow substantially, with analysts forecasting a 24.5% increase in advertising revenue for the first quarter and continued growth throughout the year. Additionally, the company's advancements in AI and the rollout of ads on Prime Video are seen as key drivers for future growth.
Overall, the sentiment among analysts is positive, with expectations of robust financial performance driven by strong growth in various business segments.
AMZN Amazon Options Ahead of EarningsIf you haven`t bought AMZN before the previous earnings:
Now analyzing the options chain and the chart patterns of AMZN Amazon prior to the earnings report this week,
I would consider purchasing the 185usd strike price Calls with
an expiration date of 2024-12-20,
for a premium of approximately $16.90.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Amazon WeeklySome bearish divergence for Amazon on the weekly chart, as it's not able to accelerate like it did before.
#amzn #amazon #spx #nasdaq
AMAZON Bearish Breakout! Sell!
Hello,Traders!
AMAZON was trading along
The rising support line but
The we saw a breakout so
We are bearish biased and
After the pullback and
Retest of the broken support
We will be expecting a
Local move down
Sell!
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Analysis of AMZN Stock: Price at 1.5-Month LowAnalysis of AMZN Stock: Price at 1.5-Month Low
As shown in the AMZN chart, the stock price dropped below:
→ the psychological level of $180;
→ the mid-June interim low.
The last time AMZN traded below $180 was in early June.
Thus, AMZN has faced sell-offs, similar to other tech stocks whose charts we've published this week. A widely mentioned reason for the sell-offs is investor rotation, moving capital from overbought tech stocks to shares in other sectors.
Will AMZN's price drop further?
Fundamentally, bulls might find hope in speculation that:
→ the company might start paying dividends. Rumours suggest the company has accumulated $100 billion in cash;
→ Amazon in Austin, Texas, is developing its own AI chip to compete with Nvidia.
Technical analysis of the AMZN stock chart also provides reasons to expect a recovery (at least in the short term):
→ The price is near the lower boundary of an ascending channel that has been in place in 2024, which may act as support.
→ The false breach of the $180 psychological level could also support the price by altering the supply-demand balance.
→ Below yesterday's low is the $175 level, which has repeatedly shown support in 2024, as indicated by arrows.
A bounce from these supports could provide valuable insights into the bulls' aggressiveness.
Meanwhile, forecasts are optimistic. According to TipRanks, all 44 Wall Street analysts recommend buying AMZN stock, with an average price target of $224.60 (nearly +25% from current levels) within 12 months, surpassing the current high around the psychological level of $200.
Note that analysts' opinions may change after the Q2 earnings report, scheduled for August 1.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
End of rallyPrice failed to reach 200$ and dropped when reaching top of both channel up
I expect a new retest of 200$ and then a sharp drop
hodgescheck this out.. this is a great analysis. could use a little more touch ups but elliot with fib etc.
AMZN breakout has more room on the weekly chart.NASDAQ:AMZN has room to $214 on the weekly chart as continuation of the previous all-time high breakout at $191.70. Watch over last week's high of $200.55.
