Amazon (AMZN) Offering Possible 50.38% Return Over the Next 31 Calendar Days

Amazon's most recent trend suggests a bearish bias. One trading opportunity on Amazon is a Bear Call Spread using a strike $725.00 short call and a strike $735.00 long call offers a potential 50.38% return on risk over the next 31 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $725.00 by expiration. The full premium credit of $3.35 would be kept by the premium seller. The risk of $6.65 would be incurred if the stock rose above the $735.00 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 63.85 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 plays catch-up with iMessage emojis
Tue, 14 Jun 2016 05:18:38 GMT
Financial Times – For many iPhone owners, the most eye-catching update among the dozens of new iOS features announced by Apple on Monday was the “emojification” of iMessage. Compared with rival chat apps such …

FAA fines Amazon $350,000 for shipping unmarked corrosive chemicals
Tue, 14 Jun 2016 03:00:11 GMT

Apple enhances Siri but still trails in artificial intelligence race
Tue, 14 Jun 2016 02:42:10 GMT

Trump Bars Washington Post From Campaign, Criticizes Amazon
Tue, 14 Jun 2016 02:29:35 GMT

Apple enhances Siri but still trails in artificial intelligence race
Tue, 14 Jun 2016 01:07:45 GMT

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