Amazon (AMZN) Offering Possible 35.14% Return Over the Next 24 Calendar Days

Amazon's most recent trend suggests a bullish bias. One trading opportunity on Amazon is a Bull Put Spread using a strike $340.00 short put and a strike $335.00 long put offers a potential 35.14% return on risk over the next 24 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $340.00 by expiration. The full premium credit of $1.30 would be kept by the premium seller. The risk of $3.70 would be incurred if the stock dropped below the $335.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Amazon is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Amazon is bullish.

The RSI indicator is above 80 which suggests that the stock is in overbought territory.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here

LATEST NEWS for Amazon

Amazon will stream in 4K starting this October
Thu, 28 Aug 2014 10:59:00 GMT

Alibaba Profit More Than Amazon, EBay Ahead of U.S. IPO
Thu, 28 Aug 2014 08:35:43 GMT

[$$] Amazon's Spending Makes Investors Twitchy
Wed, 27 Aug 2014 22:15:03 GMT
The Wall Street Journal – Twitch fits with Amazon's broad, high-spending strategy-which may have weighed on the stock this year.

Alibaba earnings leap on cusp of stock market debut
Wed, 27 Aug 2014 21:16:10 GMT

Moody's comments on Amazon's acquisition of Twitch
Wed, 27 Aug 2014 19:07:04 GMT

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