AMZN
AMZN weekly chart looks intact for continuation.NASDAQ:AMZN weekly chart shows that it is holding the previous all-time high breakout at $191.70. It is also holding the weekly 5 SMA, which would provide a good entry to average up on the swing after taking profit last week. Jeff Bezos selling at $200+ needs to be cleared out before the stock can continue higher, and it appears that he has sold about 33% of the total 25 million shares planned based on SEC filings.
AMZN is at weekly and daily demand zones.NASDAQ:AMZN is at key weekly and daily demand zones which have held up for the past several months. The daily 100 EMA and weekly 20 EMA have served as strong demand zones on this entire move higher after last earnings season, and we have been swinging the stock long from these levels in the $170s, before scaling out at $190 and $200 targets. This dip into $182 is a great level to reload equity that was sold into targets for a potential move back to highs. The trade will be invalidated if it builds below these levels; however, entry here provides favorable reward-to-risk ratio.
Amazon: Almost there!Amazon should continue to decline with the magenta-colored wave (4) into our same-colored Target Zone between $176.91 and $161.83. As soon as it has established the corrective low there, a rise above the resistance at $201.31 is on the agenda. However, we will already see the price in the magenta-colored wave alt. (5) should the resistance be broken early.
AMAZON Local Long! Buy!
Hello,Traders!
AMAZON is trading in an
Uptrend but the stock is
Going down in a correction
But will soon hit a horizontal
Support of 190$ from where
We will be expecting a
Local bullish rebound
Buy!
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Aamazon Short for weekly trade idea.Amzn stock is continuously trading in bullish trend and also not able to break the resistance at 200-204 . the diverse pattern is clearly visible between price and indicators data . for weekly trade we have short recommendation in amazon stock.
write in comment section for more information.
Amazon (AMZN) AnalysisE-commerce Leadership and Cloud Dominance:
Amazon NASDAQ:AMZN , a global e-commerce leader, also dominates the cloud computing market with Amazon Web Services (AWS). AWS, crucial for future AI growth, offers high margins and robust recurring revenue through its rental model after initial infrastructure investment. AWS contributed 62% of Amazon's $15.3 billion operating profit in Q1, despite only accounting for 18% of sales.
Strategic Investment and Future Growth:
CEO guidance suggests increased capital expenditures to expand data centers for rising AI demand, promising strong future free cash flow and improved margins.
Investment Outlook:
Bullish Outlook: We are bullish on AMZN above the $168.00-$170.00 range.
Upside Potential: With an upside target set at $220.00-$230.00, investors should consider Amazon's strategic investments and dominant market positions in both e-commerce and cloud computing as key drivers for potential stock appreciation.
📊🛒 Monitor Amazon for promising investment opportunities! #AMZN #CloudComputing 📈🔍
Amazon at $2 Trillion: What’s Driving the Stock to Record Highs?Tripled profits, a bet on AI, and a strategy to take on rising rivals from the East have propelled the ecommerce and cloud computing giant to the lofty price tag.
Innovation on Amazon’s Mind
Amazon (ticker: AMZN ) hit $2 trillion in market value just before the year clocked out for the first half. In the final week of June, the Jeff Bezos-founded online retailer soared past the formidable milestone, becoming the fifth company to ever breathe the rarefied air beyond $2 trillion.
What’s been driving Amazon stock to line up right after Alphabet (ticker: GOOGL ), Nvidia (ticker: NVDA ), Apple (ticker: AAPL ) and Microsoft (ticker: MSFT )? It’s a mix of fortunate and timely events, and all can be summed up with one word: innovation.
Amazon raked in sky-high profits of $15 billion for the most recent quarter. The figure was up three times from the same quarter last year. More importantly, the company, now under the stewardship of Andy Jassy as chief exec, is pivoting more resources to meet the growing demand for artificial intelligence.
Shifting Focus to Artificial Intelligence
Amazon Web Services (AWS) is the firm’s cloud computing business and also the world’s biggest one. It’s largely the cash cow at Amazon with profit margins as wide as 38%. Now, it’s getting a boost from businesses looking to inject AI into their products and services. The fast-growing AI-focused unit is growing at a “$100 billion annual revenue run rate,” according to Jassy.
For the quarter ended March 31, AWS sales rose 17% to $25 billion, beating forecasts for $24.5 billion and also coming ahead of the previous quarter’s 13% growth pace. It seems that the AI hype is sweeping across the Amazon halls and conference rooms.
Generative AI got praised by Amazon’s chief financial officer Brian Olsavsky as “a multibillion-dollar revenue run rate business for us.” Looking for a meaningful edge doesn’t stop with artificial intelligence.
Pitted Against Temu and Shein
Rising ecommerce competition from the East is forcing the $2 trillion giant to embrace a new line of business — ultra-low-cost goods shipped directly from China. A new discount section is in the works for Amazon.com after smaller rivals Temu and Shein have threatened to slurp up a significant market share.
The new section, according to reports, will be added to the homepage of the retailer’s app. It will be targeting American customers willing to wait nine to 11 days for goods shipped from China warehouses, as opposed to the regular one or two-day delivery time for goods delivered from within the US. Also, each item will get a price tag of no more than 20 bucks.
Temu, owned by PDD Holdings, and China-founded Shein have flooded the internet with cheap stuff and massive discounts thanks to splurging billions of dollars in advertising campaigns.
Amazon, a mainstay in the FAANG stocks list , is among the few companies to be of gargantuan size yet nimble enough to stay relevant in the changing landscape of its industry. Will the pivot to cheap goods succeed in stamping out the aggressive competition from China? Or will the corporate giant be outperformed by the brilliant maneuvering of low-caliber foreign retailers?
Share your thoughts in the comments!
AMAZON Bullish Breakout! Buy!
Hello,Traders!
AMAZON is trading in an
Uptrend and the stock
Broke the key horizontal
Level of 190.00$ and the
Breakout is confirmed so
We are bullish biased
And we will be expecting
A bullish continuation
Buy!
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Amazon (AMZN): Preparing for a CorrectionWe need to zoom out significantly to get a clearer picture of Amazon. The stock has been in a maximal zone between $177 and $214. For the past three months, it has been ranging between $177 and $188, at the top of Wave B.
Current Situation:
Elliott Wave Analysis: We believe a substantial drop is necessary to complete the overarching Wave (2). The parallel trend channel that was broken with the completion of Wave 5 should be revisited to finalize Wave (2). This would be a textbook Elliott Wave behavior - breakout of a trend channel to complete the wave 5 as a fakeout and a deeper correction to flush some participants out of the market and into slight panic mode.
Target Range: We are targeting a range between $131 and $103 as a likely zone for this correction to end.
Ranging Behavior: Amazon has been ranging for three months, indicating consolidation before a potential move.
Strategy:
Observation Mode: We are currently observing the stock for signs of weakness.
Limit Order: A limit order will be considered if the stock begins to show significant downside momentum. If and when we decide to place a limit order, we will issue a detailed market report.
Amazon's current range suggests consolidation, but we expect a deeper correction to complete Wave (2) rather than a breakout to the upside. We are monitoring for signs of weakness and will place a limit order if conditions are met. For now, there is no immediate need to place an order. Further updates will be provided as the situation evolves.
Bitcoin 2016-2024+ = Amazon 1997-2007+ ? Similarities OverlayedThe chart performance of Bitcoin from 2016 onwards is similar to Amazon's from 1997 onwards when overlaying the two charts. When looking at fundamentals both are innovative technologies that have network effects. Both are misunderstood at times and overbought at other times. The overlayed chart reminds about the risk of a short-term decrease in Bitcoin's price, but also reminds of the importance of keeping a long-term view if Bitcoin continues to perform similarly to how the stock price of Amazon did. This is not financial advice, your capital is at risk in all investments, don't invest unless you're prepared to lose all the money you invest. Bitcoin has a very high risk associated to it, do your own research, do not take any actions based on this idea.
Big Tech is nearly at All time High's. Just 3% away!It has doubled since the peak Recession fears of 2021
#BTC has also more than doubled
#SOL has 4 or 5 X'd
This chart is combined price chart of
#Googl
#Appl
#MSFT
#Amzn
#NVDA
#NFLX
#META
U can see the two head and shoulder tops in 2021
and also the inverse head and shoulders in 2022
The clean break and run.
And also the Bull Pennant which has already bullishly triggered 3 weeks ago.
From these levels if that Bull pennant target is to be met (log scale)
It seems this basket has another 30% move left in it.
Why Amazon's Stock Surge is Just the BeginningAmazon has delivered an impressive performance this year, with its stock appreciating over 20%. Many analysts believe this is just the beginning of a much larger upward trend.
Amazon's business model is undergoing a significant transformation, presenting a unique opportunity for investors. Here are three key insights that make a compelling case for buying Amazon stock now.
Resurgence in Amazon Web Services' Growth
Amazon Web Services (AWS), the company's cloud computing division, is experiencing a strong resurgence. AWS allows clients to rent computing space and run workloads over the cloud, a popular strategy that enables customers to scale computing power as needed. This is particularly relevant as many companies are developing AI models to enhance their operations.
Despite sluggish demand for AWS in 2023 compared to competitors like Google Cloud and Microsoft Azure, the outlook is improving. Amazon's significant investment in Anthropic, a generative AI startup, has equipped AWS with advanced AI tools. CEO Andy Jassy highlighted this in Amazon's Q1 conference call, stating, "We see considerable momentum on the AI front where we've accumulated a multibillion-dollar revenue run rate already."
This positive development is reflected in the financial results. In Q1, AWS saw a 17% year-over-year increase in net sales and an 84% rise in operating income. Another growth catalyst is the end of the optimization trend. Last year, companies focused on cost-cutting, including optimizing cloud computing spending. With this trend now complete, AWS is benefiting from new workloads, rather than declining revenue from reduced workloads.
AWS remains Amazon's most profitable segment, which is crucial for its success. However, other areas of the business are also starting to contribute significantly.
Amazon's Accelerating Cash Generation
While AWS has long been profitable, Amazon's commerce divisions haven't always shared that success. The company had to recover from significant investments in its supply network in 2021 and 2022, which affected its North American division. Additionally, Amazon's international operations have historically been unprofitable, but this is starting to change. In Q1, the international segment posted its first profitable quarter since 2021.
This turnaround has significantly bolstered Amazon's cash generation, which is now gaining momentum.
In the past 12 months, Amazon has generated $50.1 billion in free cash flow (FCF), a stark contrast to the $3.3 billion FCF outflow in Q1 of the previous year. The trends associated with this FCF are equally encouraging.
Historically, the first quarter is weak for Amazon due to high spending in Q4. This pattern results in a relative peak at the start of each new year, followed by a significant decline. This occurred again in 2024, but notably, this was the first year in recent memory that the drawdown did not result in a negative FCF. Additionally, the Q4 peak was the highest it has ever been.
This indicates that Amazon's cash flows are improving and sustainable, which is a positive sign for investors. As Amazon's cash flows increase, the company could initiate a dividend or start repurchasing stock, benefiting long-term investors.
Amazon is Still Below Its Average Valuation
Despite Amazon's significant cash flow growth and improvements across its business, the stock is still undervalued based on its price-to-sales (P/S) ratio. Traditional valuation metrics centered around earnings aren't as useful for Amazon yet, but the P/S ratio indicates that Amazon is valued at levels seen during the post-COVID demand drawdown and before that in 2018.
This suggests that the stock isn't overvalued and could be a reasonable purchase today.
Considering Amazon's growth prospects and increasing FCF, Amazon is an excellent buy right now. There are still many aspects of Amazon's business poised for transformation, and investors will benefit from buying and holding it for the long term.
Previous Idea
Amazon - Two trading setups!Hello Traders and Investors, today I will take a look at Amazon.
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Explanation of my video analysis:
In 2020 Amazon stock created massive resistance roughly at the $180 level and started a major correction away from the resistance in 2022. As we are speaking Amazon stock is once again retesting this major resistance level and is therefore at a quite decisive inflection point. Either we will see a breakout or another rejection after which we could then see the overall continuation towards the upside.
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Keep your long term vision,
Philip (BasicTrading)