Amazon (AMZN) Offering Possible 63.93% Return Over the Next 21 Calendar Days

Amazon's most recent trend suggests a bearish bias. One trading opportunity on Amazon is a Bear Call Spread using a strike $962.50 short call and a strike $967.50 long call offers a potential 63.93% return on risk over the next 21 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $962.50 by expiration. The full premium credit of $1.95 would be kept by the premium seller. The risk of $3.05 would be incurred if the stock rose above the $967.50 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 37.91 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

Sears earnings: loss of $1.16 a share, vs $2.48 per share loss expected
Thu, 24 Aug 2017 10:02:49 +0000
In its fiscal first quarter, Sears reported a narrower-than-expected loss, sending shares soaring.

Whole Foods shareholders vote in approval of Amazon deal
Thu, 24 Aug 2017 09:38:09 +0000
Amazon and Whole Foods Market expect to finalize their merger during the second half of 2017.

Amazon and Wal-Mart might be fighting over Nordstrom next, Foursquare says
Thu, 24 Aug 2017 09:23:03 +0000
This suggested buy list, built on Foursquare data, includes retailers like Nordstrom, Warby Parker, Ulta and Lowe's.

Wilbur Ross Got One Thing Right – There Are No Antitrust Issues In Amazon's Buying Whole Foods
Thu, 24 Aug 2017 09:18:00 +0000
Yep, pretty much. So, Wilbur Ross was entirely correct about Amazon and Whole Foods, now if we could only get him up to speed on trade

The battle between Amazon and Alibaba will be fought over warehouse space
Thu, 24 Aug 2017 07:24:03 +0000
When Britons voted last year to leave the EU, a major concern was whether the resulting upheaval would dent the demand for real estate. At least as far as warehouses are concerned, so far it has been the opposite: Savills, a property services company, says Amazon helped make 2016 the best ever for that part…

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