Amazon Inc. (NASDAQ: AMZN): Will AMZN Stock Price Defend $120 Mark?

• Amazon Inc. stock price has stuck between 100 and 200 days EMA.
• Amazon stock price jumped by 48.48% YTD.
• The P/E ratio for AMZN stock is 99.18.

Amazon Inc. is a multinational technology company that engages in the provision of online retail shopping services. It operates through the following segments: North America, International, and Amazon Web Services (AWS). The North American segment is involved in the retail sales of consumer products, including sellers and subscriptions through North America-focused online and physical stores. It also includes export sales from online stores.

Based on the recent earnings reports in Q2 2023, the estimated EPS was 0.354, but the reported EPS was 0.646, which was positively surprised by 0.296 (83.66%), which resulted in a big gap-up opening of 9.82% on the next trading session.

The estimated revenue was $131.494 Billion, and the reported revenue was $134.383, which was positively surprised by $2.889 Billion. The net income jumped by 432.84%, and the net profit margin has increased by 400.6%.

Turning to the technical indicators, the AMZN stock price is struggling between the 200 and 100-day EMA. RSI is at 35.74 and heading towards the oversold zone. According to MACD, strong negative volumes are here, and EMAs are negative.

AMZN Stock Price Technical Analysis in 1D Timeframe

AMZN stock price is trading at $124.72 with an intraday loss of 3.66%. The market capitalization is $1.28 Trillion and the public float is $8.99 Billion. The average volume is 53.73 Million.

Amazon Inc.’s stock price is in a bullish trend. The price rose through a trendline gave a breakdown and sustained below the trendline. Recently, the price has taken a negative pullback and is trying to decline further.

If the AMZN stock price fails to defend $120 which is near the 200-day EMA, then in the upcoming trading session, the price may show a downtrend and erode all profits made throughout this year.

On the other hand, if the price shows some bullishness and starts trading over the 100-day EMA and sustains, then buyers may bring back their confidence which may result in the pump in the price.

The next earnings reports are to be announced on October 26, 2023, for the period ending in September 2020. The estimated EPS is $0.577 and the estimated revenue is $141.513 Billion.

Conclusion 

The AMZN stock price was riding by taking support on the trendline and now staying below it. If the price continues its decline, then one can see a bearish momentum and investors should avoid buying it. If the price bounces back and enters the $130 hurdle then the price may surge in the next few trading sessions.

Technical Levels

Resistance Levels: $131.60 and $145

Support Levels: $123.60 and $104

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading stock comes with a risk of financial loss.