You are here: Home > articles > Forex > Technical Analysis – Amazon stock loses momentum after struggling to break above upper channel boundary
Technical Analysis – Amazon stock loses momentum after struggling to break above upper channel boundary
May 14, 2018 1:26 pmVideo
Latest News
- Analysis of EUR/USD pair on May 24, 2024 May 24, 2024
- Analysis of GBP/USD pair on May 24th. Another British report showed weakness, but who cares? May 24, 2024
- USD/JPY: Simple trading tips for novice traders on May 24th (US session) May 24, 2024
- GBP/USD: Simple trading tips for novice traders on May 24th (US session) May 24, 2024
- EUR/USD: Simple trading tips for novice traders for May 24th (US session) May 24, 2024
- GBP/USD: trading plan for the US session on May 24th (analysis of morning deals). Sellers missed 1.2700 May 24, 2024
- EUR/USD: trading plan for the US session on May 24th (analysis of morning deals). The euro is not going to give up May 24, 2024
- EUR/USD. May 24th. The bears are starting to go on the offensive May 24, 2024
- Forecast of GBP/USD pair on May 24, 2024 May 24, 2024
- Trading Signals for EUR/USD for May 24-28, 2024: sell below 1.0864 (200 EMA – 21 SMA) May 24, 2024
- Trading Signals for GOLD (XAU/USD) for May 24-28, 2024: buy above $2,333 (200 EMA – oversold) May 24, 2024
- Weekly Forex Outlook: 24/05/2024 – US PCE inflation and Eurozone CPI data enter the spotlight May 24, 2024
- Technical Analysis – Is the pause in NGAS a warning signal? May 24, 2024
- Technical Analysis – USDCAD eases slightly after bullish rally May 24, 2024
- Week Ahead – US PCE inflation and Eurozone CPI data enter the spotlight May 24, 2024
- Technical Analysis – GBPJPY continues its journey north May 24, 2024
- Video market update for May 24, 2024 May 24, 2024
- Forex forecast 05/24/2024: EUR/USD, GBP/USD, USD/CAD, Gold and Bitcoin from Sebastian Seliga May 24, 2024
- USD/JPY: trading tips for beginners for European session on May 24 May 24, 2024
- GBP/USD: trading tips for beginners for European session on May 24 May 24, 2024
Amazon stock prices have been consolidating since February 12 and have been stuck in a sideways channel with upper boundary the 1621 resistance level and lower boundary the 1353 support hurdle. The neutral picture in the medium-term looks to last a while longer after prices failed to break the upper channel on Thursday.
Resistance was met near the aforementioned resistance barrier, forcing the price to reverse lower. The negative bias in the near term is supported by the deterioration in the momentum indicators. The %K line of the stochastic oscillator has fallen sharply and posted a bearish cross with the %D line. Moreover, the RSI indicator is moving slightly lower in the positive area, suggesting any upside movement will be weak.
If prices continue to head lower, support should come from the 1544 level. A drop below this area would reinforce the short-term bearish view and open the way towards 1414, but first, the price needs to go through the 50- and then the 200-simple moving averages (SMAs) at 1519 and 1446 respectively.
However, should an upside reversal take form, immediate resistance will likely come from the upper boundary of the consolidation area. A successful close above this significant obstacle could drive the price towards the 1700 psychological level.
Overall, the short-term picture indicates a bearish correction as the price completed two consecutive bearish days with weak volatility.
Related Posts: