Amazon (AMZN) Offering Possible 36.61% 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 $335.00 short call and a strike $340.00 long call offers a potential 36.61% 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 $335.00 by expiration. The full premium credit of $1.34 would be kept by the premium seller. The risk of $3.66 would be incurred if the stock rose above the $340.00 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 47.62 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

INDIA PRESS-After US, Amazon plans portal for wholesale merchants in India – Economic Times
Fri, 12 Sep 2014 03:04:45 GMT
Reuters – Note: Reuters has not verified this story and does not vouch for its accuracy.

Alibaba IPO: Jack Ma's scrappy start-up takes on U.S.
Fri, 12 Sep 2014 02:43:29 GMT

Amazon to join rush for Silicon Roundabout
Fri, 12 Sep 2014 01:36:40 GMT
Financial Times – Amazon is opening new offices in the heart of Silicon Roundabout, the cluster of start-ups in east London, joining other US tech groups that are increasing their presence in the British capital. The world's …

PRESS DIGEST- British Business – Sept 12
Thu, 11 Sep 2014 23:57:57 GMT
Reuters – Sept 12 – The following are the top stories on the business pages of British newspapers. Reuters has not verified these stories and does not vouch for their accuracy. The Times NORTH KOREA COMES OUT FOR …

HP Just Made A Brilliant Move Against Amazon By Buying Eucalyptus Systems
Thu, 11 Sep 2014 21:44:00 GMT
Business Insider – In a slap against cloud-computing rival Amazon…

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