I wrote about Amazon the other week potentially finding a ‘floor’ after the recent slide. Since the lows of August 5th, AMZN has rebounded around 80 pts higher. It was not without some volatility, but clearly it is darn near impossible for this stock to stay down too long. The key technical level of reference was the 200-Day SMA on the daily chart. That is your short term floor in AMZN ladies and gentlemen. As long as the stock remains above that level, I would expect AMZN to try and move higher. With the broad markets bouncing back, it is rare for AMZN to offer any value to new investors. Clearly we see value now. If the markets bounce back to the June highs, expect AMZN to rally strong in the near term. 

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about the author:

Charles Moon

Charles Moon is a technical "whiz kid" whose experience lies in scalp/swing trading. A patient educator, Charles excels at coaching/mentoring and can make complex concepts simple. Prior to joining the ranks of Prosper Trading Academy, Charles was a proprietary equities trader with Great Point Capital LLC. Coming from a retail trading background, his experience can help those with no experience trading to seasoned veterans.

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