Technical Analysis – Amazon stock hovers in sideways channel after bearish trend
Amazon stock has been developing within a trading range of 99.70-127.20 before the earnings release on Thursday and is showing some negative signs from the technical indicators. The RSI is pointing downwards around the neutral threshold of 50, while the stochastic oscillator is heading south after a bearish crossover within its %K and %D lines.
Should the selling forces strengthen, the 50-day simple moving average (SMA) at 112.53 will come under the spotlight. The 105.90 support could next add some footing ahead of the lower surface of the sideways channel at 99.70.
Alternatively, a move higher could take the market towards the next restrictive region of 124.80-127.20, while a climb above it would brighten the outlook to positive, pushing the price towards the 100-day SMA at 129.10 and the 133.00 resistance.
In brief, Amazon stock is facing a neutral bias, where a drop below 99.70 is expected to enhance selling interest.Latest News
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