Amazon stock upgraded from Hold/Accumulate to Buy Candidate after Friday trading session.StockInvest.us, 2 weeks ago
The Amazon stock price gained 1.65% on the last trading day (Friday, 17th Nov 2023), rising from $142.83 to $145.18. During the last trading day the stock fluctuated 1.87% from a day low at $142.55 to a day high of $145.22. The price has been going up and down for this period, and there has been a 4.75% gain for the last 2 weeks. Volume fell on the last day by -3 million shares and in total, 45 million shares were bought and sold for approximately $6.59 billion. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.
On Oct 27, 2023, it was reported that Morgan Stanley gave AMZN a "Overweight" grade with a "hold" action.
The stockis at the upper part of a wide and horizontal trend and normally this may pose a good selling opportunity but a break-up through the top trend line at $146.19 will give a strong buy signal and a trend shift could be expected.Given the current horizontal trend, you can expect Amazon stock with a 90% probability to be traded between $121.54 and $148.03 at the end of this 3-month period. A break of a horizontal trend is often followed by a large increase in the volume, and stocks seldom manage to go directly from the bottom of a trend up to the top. Stocks turning up in the middle of a horizontal trend are therefore considered to be potential runners.
The Amazon stock holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $143.39 and $133.26. A breakdown below any of these levels will issue sell signals. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The stock should be watched closely. Some negative signals were issued as well, and these may have some influence on the near short-term development. A sell signal was issued from a pivot top point on Tuesday, November 14, 2023, and so far it has fallen -0.425%. Further fall is indicated until a new bottom pivot has been found.
Amazon finds support from accumulated volume at $140.39 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
This stock has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the stock moved $2.67 between high and low, or 1.87%. For the last week, the stock has had daily average volatility of 2.30%.
Several short-term signals are positive and we conclude that the current level may hold a buying opportunity, as there is a fair chance for Amazon stock to perform well in the short-term period.We have upgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Buy candidate.Check full Amazon forecast and analysis here.