Bearish Chart Setup On Amazon.com (AMZN)

Technical Probability Meter: Bearish

Amazon.com (AMZN) has retraced a breakdown of a parallel channel. This is called a retrace to the 'scene of the crime'. In other words, the parallel channel worked as support and resistance since October 2023. Then it broke in The August 2024 collapse. Price has rallied higher, tagging the lower parallel line from underneath. On a technical analysis basis, this is major resistance.

Probabilities strongly favor a turn down in shares of Amazon.com. The stock price could easily revisit the August 2024 lows.

For Amazon.com to turn down, economic data would likely have to weaken, crushing the narrative of a soft landing. This would mean consumer spending is starting to slow even more, effecting Amazon.com revenue and profit.

Verified Investing is a data firm that analyzes the probabilities of moves based on technical analysis. This helps investors avoid the mainstream media narratives and the social media hype. Ultimately, leading to investors making a high probability of correct decisions on investing and trading. Be the casino, not the gambler.