Amazon (AMZN) Offering Possible 47.06% Return Over the Next 9 Calendar Days

Amazon's most recent trend suggests a bearish bias. One trading opportunity on Amazon is a Bear Call Spread using a strike $310.00 short call and a strike $315.00 long call offers a potential 47.06% return on risk over the next 9 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $310.00 by expiration. The full premium credit of $1.60 would be kept by the premium seller. The risk of $3.40 would be incurred if the stock rose above the $315.00 long call strike price.

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

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

The RSI indicator is at 30.61 level which suggests that the stock is neither overbought nor oversold at this time.

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

Company News: Uber, Amazon, Supreme Group, AutoNation, Instagram, Twitter
Fri, 12 Dec 2014 01:10:01 GMT
BusinessWeek – India is over Uber; Amazon avoids paying employees for training; and more

Senate OKs tighter Internet sales tax collection
Thu, 11 Dec 2014 23:50:07 GMT

Microsoft’s Azure Is Starting to Close the Gap With Amazon’s Cloud Service
Thu, 11 Dec 2014 22:45:10 GMT
BusinessWeek – Azure signs up more than 10,000 customers weekly, almost half of which are startups and software vendors

Amazon picks up first Golden Globes nominations
Thu, 11 Dec 2014 22:19:00 GMT

With Amazon Facing $1.5 Billion Income Tax Bill, Bezos Too Busy To Testify
Thu, 11 Dec 2014 22:06:00 GMT

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