Amazon Delivers "Clean Up In Aisle 1" Message To Grocers
Greg Schnell |
Amazon (AMZN) stepped up and bought shares of Whole Foods (WFM) for $13.7 B. While Whole Foods shareholders saw some relief from the prolonged pain of holding the stock, the rest of the industry group plummeted on the news. The weekly chart of WFM shows the shareholder pain for the last five years.
The Industry group dropped broadly on the news. Amazon's delivery prowess just doubled down the biggest risk to market share by adding physical locations in primary markets.
Amazon moved $30 higher on the news as well.
Retail continues to be a hot mess with the Seattle-based Amazon sending new seismic shock waves across the continent. Canadian grocers also plummeted on the news.
Greg Schnell, CMT, MFTA
Enjoy this article? Hear more from Greg Schnell at
August 10th & 11th, 2018
See how the experts are protecting themselves from market volatility and reducing risk in uncharted waters
Join us online this August for two full days of investing insights, charting wisdom and market commentary from the industry's leading technicians.
Streaming live wherever you are, you'll learn exactly how the experts are navigating the market's changing tides and remaining profitable in all conditions.
About the author:Greg Schnell, CMT, is a Senior Technical Analyst at StockCharts.com specializing in intermarket and commodities analysis.
Based in Calgary, he is a board member of the Canadian Society of Technical Analysts (CSTA) and the chairman of the CSTA Calgary chapter.
He is also the author of Stock Charts for Dummies (Wiley, 2018).