Here’s your trade on Amazon (AMZN) (April 02, 2019)AMZN
Amazon ( NASDAQ: AMZN ); I am just pointing this out, we are still a little bit early to be buying this again. The way this stock trades, it is a little “whippy,” particularly if you are trading options. But if you just look at this little kind of a handle here, after the big nasty sell-off here, the stock has been setting up in this sideways consolidation. It broke out and then found a nice little trading range in here.
This is a really, really choppy stock and so what I would suggest doing is setting an alert at 1823.00. That is where this last high was. If the stock breaks out at 1823.00 my bet is it is going to be on the way to new highs. That is just the way this stock trades; you can’t count out good old Jeff Bezos, the jokes are endless on Bezos these days, I’m not going to tell you one of them.
Anyway, the bottom line is, let’s just say the box will be unzipped here if the stock breaks out above 1823.00 and that is when I would want to go long this stock. That’s it; if you are buying the stock there make sure you keep a tight stop. Once the stock breaks out it should not fall even back here. If the stock falls back, we’ll say, below 1800.00 you don’t want to be long, because it is still in a range. So it has got to break out above 1823.00 and hold that break out and then I think, let’s just say, you will get some “prime membership” on the bulls.