Amazon's most recent trend suggests a bearish bias. One trading opportunity on Amazon is a Bear Call Spread using a strike $315.00 short call and a strike $325.00 long call offers a potential 26.58% return on risk over the next 18 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $315.00 by expiration. The full premium credit of $2.10 would be kept by the premium seller. The risk of $7.90 would be incurred if the stock rose above the $325.00 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 53.12 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
Corrections & Amplifications
Wed, 04 Jun 2014 01:20:18 GMT
The Wall Street Journal – Corrections & Amplifications for the edition of June 4, 2014
Amazon delays Cloud Player and FreeTime for Fire TV: is Prime Music to blame?
Tue, 03 Jun 2014 23:35:46 GMT
$7 Billion Tiger Global Has Sold Netflix and Amazon
Tue, 03 Jun 2014 19:56:08 GMT
Bing celebrates 5th anniversary with Apple gains
Tue, 03 Jun 2014 19:43:00 GMT
In the Amazon/Hachette Fight, Wal-Mart and Barnes & Noble Could Be Winners
Tue, 03 Jun 2014 18:12:21 GMT
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