Amazon.com (NASDAQ:AMZN) has taken over the world. Doesn't matter what you're looking for, Amazon is the place to find it. But the company is so much more -- Cloud services, music, kindle and its services, self publishing, Echo. It's hard to keep track of it all.
Yeah, I know it doesn't earn any money and the PE is about a gazillion when it does make a few cents. But frankly I care more about Prime Delivery via the U.S. Post Office, which would make life a whole lot easier for us working stiffs (read, not at home to sign for deliveries). Better fix that Mr Bezos.
What also interests me Amazon's stock price. The chart above shows that since the beginning of 2014, price action has formed a descending triangle for the whole of 2104, which broke to the upside this past January. The price hit the target move on earnings in April before a minor pullback and consolidation. It ran higher to start July and gapped up to another new high. That move was a 127% extension of the first leg.
Another pullback in a ‘V’ bottom and the stock is back to chasing new highs -- as October earnings near. Only that up-spike day remains before new highs. The momentum indicators are looking bullish, too. The RSI is rising in the bullish range while the MACD crossed up to start September and is rising as well. Even the Bollinger Bands® are opening to the upside. A measured move higher would target about 620.
And there's now a natural stop loss area at about 540.