Time to Get Long This Giant?

Today, we’re going to see what’s setting up on Amazon.com, Inc. (AMZN).

You’re undoubtedly familiar with Amazon, the second-largest retailer in the world and the largest online retailer.

When we recently looked at AMZN, it was headed lower, possibly to enter into a bear market (based on the popular definition of a 20% decline from highs).

But, not so fast! AMZN bounced off support.

Now we can take a look at where it stands now by analyzing the daily chart below:

chart

After holding support, AMZN put in a higher low and kicked back up over the midline of its Keltner Channel.

It’s now taking a pause, but as long as it remains above the midline, we can watch for a buy signal to set up.

Trade Smart,

 

Michael Saul
Analyst, Chart of the Day

Michael Saul

Written By Michael Saul

Michael Saul has been trading the financial markets since the mid-1990s. He head first into studying price charts, devouring everything on technical analysis that he could get his hands on. Then, he moved on to trading stocks in 1999, and started trading options in 2000. The one thing he’s discovered through it all is you can never stop looking for new ways to gain an edge in the market.