Amazon (AMZN) Offering Possible 38.89% 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 $817.50 short call and a strike $822.50 long call offers a potential 38.89% 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 $817.50 by expiration. The full premium credit of $1.40 would be kept by the premium seller. The risk of $3.60 would be incurred if the stock rose above the $822.50 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 52.45 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

Apple Hires Former Amazon Fire Head To Help Revive Apple TV
Wed, 08 Feb 2017 05:22:03 GMT

Apple just poached an Amazon executive to save its struggling Apple TV business
Wed, 08 Feb 2017 02:35:42 GMT

Inside the Numbers: How Reliant Are Tech Behemoths Amazon and Apple on H-1B Visas?
Wed, 08 Feb 2017 01:06:00 GMT

FedEx just launched a new service that takes on Amazon's super popular fulfillment program
Wed, 08 Feb 2017 00:59:48 GMT

Apple Hires Amazon’s Fire TV Head to Run Apple TV Business
Wed, 08 Feb 2017 00:49:19 GMT

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