Don't Ignore This Chart!

AMZN Awaiting Next Bullish Breakout

 | 

Amazon.com (AMZN) continues to reach for the stars and if the current technical pattern plays out, it'll likely be much closer.  After soaring through price resistance in April to set a fresh all-time high on the heels of better-than-expected earnings, AMZN has been consolidating in a bullish continuation pattern - the cup with handle.  The handle is easier to see on a daily chart, which is not presented below.  But the cup is quite clear.  The good news for the bulls is that even if this pattern doesn't confirm and short-term price support is lost at the bottom of the cup, the April breakout above resistance should provide another solid layer of price support just above the 400 level.  Also note the rising 20 week EMA is currently at 404, providing further support.  Earnings will be out in the latter half of July, but traders appear to be anticipating solid results.  Check out the current technical picture:

Happy trading!

Tom

Tom Bowley
About the author: is the Chief Market Strategist of EarningsBeats.com, a company providing a research and educational platform for both investment professionals and individual investors. Tom writes a comprehensive Daily Market Report (DMR), providing guidance to EB.com members every day that the stock market is open. Tom has contributed technical expertise here at StockCharts.com since 2006 and has a fundamental background in public accounting as well, blending a unique skill set to approach the U.S. stock market. Learn More
Subscribe to Don't Ignore This Chart! to be notified whenever a new post is added to this blog!
comments powered by Disqus