Amazon's most recent trend suggests a bearish bias. One trading opportunity on Amazon is a Bear Call Spread using a strike $310.00 short call and a strike $320.00 long call offers a potential 41.84% return on risk over the next 36 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $310.00 by expiration. The full premium credit of $2.95 would be kept by the premium seller. The risk of $7.05 would be incurred if the stock rose above the $320.00 long call strike price.
The 5-day moving average is moving down which suggests that the short-term momentum for Amazon is bearish and the probability of a decline in share price is higher if the stock starts trending.
The 20-day moving average is moving down which suggests that the medium-term momentum for Amazon is bearish.
The RSI indicator is at 30.54 level which suggests that the stock is neither overbought nor oversold at this time.
To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here
LATEST NEWS for Amazon
Washington Post Adds a National Tabloid Edition
Mon, 20 Oct 2014 01:06:06 GMT
Wolff: Real books can defeat Amazon and e-books
Sun, 19 Oct 2014 23:00:00 GMT
Why ‘Senator Warren Buffett' And ‘Rep. Peter Thiel' Would Be Really Lousy Investors
Sun, 19 Oct 2014 13:00:00 GMT
Cutting the Cord: Fissures in the pay TV ‘logjam'
Sat, 18 Oct 2014 22:47:00 GMT
Diagnosing the Market's Mood Swings
Sat, 18 Oct 2014 05:00:00 GMT
Morningstar – Europe woes, retail sales data, and mixed earnings rocked markets this week, but not all the news was as bad as it seemed.
Also on Market Tamer…
Follow Us on Facebook