- Summary:
- Amazon stock price has soared to its highest level of the year after the release of October CPI data. The next target could be $165.
Amazon stock price has printed 23.5% gains since its October lows. In fact, the stock of the tech giant has soared to its fresh 52-week highs as the US equities benefit from the weakening dollar and the falling bond yields.
On Tuesday, the US Bureau of Labor Statistics released the CPI data for the month of October. The CPI report showed that the YoY inflation increased 3.2% in the tenth month of 2023. This was below the analyst estimates of 3.3%.
The dollar and the 10-year bond yield had a sharp decline right after the release of the CPI data. As a result, the US stock extended their weekly gains.
Technical analysis of the following NASDAQ: AMZN chart shows that the price has made fresh yearly highs above $147. However, the stock is also at a huge resistance level and there are strong chances of at least a short-term pullback from the current level. The bearish divergence on the lower timeframe RSI support this outlook.
