Amazon faces key levels before earnings
Bryan McCormick | firstname.lastname@example.org
I have drawn in three moving averages on the daily chart below that could be important. If the earnings report is relatively neutral, we might see a move up to the 10-day moving average, shown in pink. That moving average was last at $237.23.
A move to the lifetime high at $246.71 could also be in the cards on a report that is positive but not spectacular. Because the stock is so close to its all-time high already, it isn't possible to project where AMZN might go based on resistance. A 10 percent move or more has not been uncommon when the company reports quarterly results that are better than consensus estimates, so we could see a move above $250.
On less favorable news, the shares could edge down to the 50-day moving average, shown in orange. That moving average was last at $218.
On more extreme negative news or outlook, the stock could go to the long-term uptrend support line--its 200-day moving average. That moving average was last at $196.69.
AMZN is trading at $231.95 this afternoon, off 0.71 percent on the day.
(Chart data provided by Thomson Reuters)