Amazon (AMZN) Offering Possible 51.52% Return Over the Next 10 Calendar Days

Amazon's most recent trend suggests a bearish bias. One trading opportunity on Amazon is a Bear Call Spread using a strike $850.00 short call and a strike $855.00 long call offers a potential 51.52% return on risk over the next 10 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $850.00 by expiration. The full premium credit of $1.70 would be kept by the premium seller. The risk of $3.30 would be incurred if the stock rose above the $855.00 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 59.19 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

Amazon CEO Jeff Bezos shows off engine for Blue Origin’s gigantic new space rocket
Tue, 07 Mar 2017 07:39:51 GMT

[$$] Fake Goods on Alibaba Hurt U.S. Small Businesses
Tue, 07 Mar 2017 05:59:40 GMT

FANG Stocks News & Quotes: Facebook, Amazon, Netflix, Google
Tue, 07 Mar 2017 02:27:42 GMT

Amazon to collect sales tax in New Mexico starting in April
Tue, 07 Mar 2017 01:05:39 GMT

Amazon to collect sales tax in New Mexico starting in April
Tue, 07 Mar 2017 01:05:39 GMT

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