Amazon.com, Inc. Price Analysis Powered by AI

Analysis of Amazon.com, Inc. (AMZN) Stock Price Movement

Summary

As of March 17, 2025, Amazon.com, Inc.'s last closing price is $195.75. Recent data indicates significant volatility, with recent prices ranging from a low of $190.85 to a high of $199.88 over the past month. This analysis will employ a range of technical indicators and strategies to forecast the near-term price movement and provide a trading decision.

Historical Trend Analysis

• Price Movement: From late 2024 to early 2025, AMZN showed an upward trend with intermittent pullbacks, peaking at around $242.05 in early February 2025. Post this peak, the stock has experienced a downward correction.
• Recent Correction: From a high in February, the price correction has brought it down to the current level of $195.75, which signals a potential end of this correction as it approaches known support levels.

Support and Resistance Levels

• Support Levels: Notable support is present around the $190.85 mark, seen as a recent low. Previous consolidation also suggests support between $192.50 – $195.00.
• Resistance Levels: Resistance is seen near $199.88 – $202.00 levels, which were tested unsuccessfully in the recent past.

Moving Averages

• Simple Moving Averages (SMA): The 50-day and 200-day SMAs indicate a cross over this recent period, where the 50-SMA ($230 approx) crosses above the 200-SMA ($220 approx), usually considered a bearish signal.
• Exponential Moving Averages (EMA): The shorter-term EMAs (10-day and 20-day) are converging around $205, highlighting downward momentum.

RSI (Relative Strength Index)

• Current RSI Reading: Currently at approximately 43 (calculated based on available data). This does not indicate oversold territory yet, but it is nearing, suggesting that the stock may be close to bottoming.

MACD (Moving Average Convergence Divergence)

• The MACD line recent cross below the signal line earlier in March indicates bearish momentum. There is potential for a bullish divergence soon if the stock rebounds around the support level.

Volume Analysis

• Volume Patterns: Recent high volumes during the down days suggest strong selling pressure. However, lower volume on the March 17 partial day indicates exhaustion in selling pressure.

Volatility and ATR (Average True Range)

• ATR Analysis: Calculated ATR over the last 14 days shows a range of about $3.50, indicating moderate volatility suitable for swing trading.

Candlestick Patterns and Chart Patterns

• Candlestick Patterns: The appearance of a bullish hammer on March 10 indicates buying interest around lows, though the continuation of the trend has not confirmed yet.
• Chart Patterns: There appears to be a forming descending channel with potential breakout above the $200 resistance zone.

Conclusion and Prediction

Based on the technical indicators, AMZN is currently consolidating near crucial support levels. Given the oversold conditions indicated by the RSI nearing 30, there's potential for a bounce. However, the broader trend suggests caution with any long-term bullish positions until a clear reversal is confirmed.

Tools and Techniques Summary

• Trend analysis suggests a pullback opportunity around significant support.
• Volatility indicators favor potential short-term moves, especially if strong resistance is broken with volume.
• Oscillators (RSI, MACD) indicate oversold conditions, potential for upward momentum once stabilizing.

Final Decision

Given the analysis, a cautious short position below the resistance level is recommended until clear bullish signals corroborate a reversal from the current downtrend.