• AMZN triggered the bullish sign we discussed last week, by breaking the $117 area, and it is behaving just as we expected. As usual, the link to my last analysis is below this post;
• Now that it is not in a congestion anymore, AMZN is free to seek its next resistances. Ideally, it would fill the gap at $136 in the next days – Remember, gaps work as magnets during reversals;
• AMZN is consistently trading above the 21 ema, which is good, but the reversal is still on early stages, and any bearish reaction could frustrate the bullish thesis;
• What kind of reaction could make AMZN reject the bullish thesis? If it loses $117 again it wouldn't be good. If it triggers a bearish reversal structure, it would be worse. So far, there’s no technical bearish reversal structure around, just an important resistance level, as seen in the daily chart below;
• The main problem on AMZN is the 21 ema, as any bearish top sign around this area would give us the impression of a Dead Cat Bounce, just for AMZN to resume the drop all the way down to $112 again, or even to the $102;
• Therefore, the situation is still delicate, and AMZN still has a few challenges before truly reversing this bearish sentiment;
• For now, let’s keep our eyes open around the $117 - $118 area;
I’ll keep you guys updated on this. Remember to follow me for more analysis like this! Keep in touch.
• Now that it is not in a congestion anymore, AMZN is free to seek its next resistances. Ideally, it would fill the gap at $136 in the next days – Remember, gaps work as magnets during reversals;
• AMZN is consistently trading above the 21 ema, which is good, but the reversal is still on early stages, and any bearish reaction could frustrate the bullish thesis;
• What kind of reaction could make AMZN reject the bullish thesis? If it loses $117 again it wouldn't be good. If it triggers a bearish reversal structure, it would be worse. So far, there’s no technical bearish reversal structure around, just an important resistance level, as seen in the daily chart below;
• The main problem on AMZN is the 21 ema, as any bearish top sign around this area would give us the impression of a Dead Cat Bounce, just for AMZN to resume the drop all the way down to $112 again, or even to the $102;
• Therefore, the situation is still delicate, and AMZN still has a few challenges before truly reversing this bearish sentiment;
• For now, let’s keep our eyes open around the $117 - $118 area;
I’ll keep you guys updated on this. Remember to follow me for more analysis like this! Keep in touch.
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👉 Join the 5%: thefinancehydra.com/
💲💲 Project 5%: + 104%
🔹 S&P500: +35%
💪 Public track record.
