Amazon (NASDAQ: AMZN) stock price continued to extend its pullback after the Labor Day weekend. The e-commerce giant’s stock is trading 2.3% above its last week’s low of $133.18. Amazon shares are currently changing hands at $136.24, down 1.37% till press time.
The US indices are in a downtrend as China’s downbeat services data weigh on US stocks. Many analysts expect a significant decrease in demand from the world’s second-largest economy. On Tuesday, the Nasdaq100 index is down 0.37%, Dow Jones is down 0.2%, and the S&P500 fell 0.24%.
On Tuesday, Amazon Web Services (AWS) announced that it will be the preferred cloud service provider for BMW’s automated driving platform. The automaker will use AWS services to develop new features for its advanced driver assistance system.
Last month, Amazon released a staggering earnings report that beat analyst expectations by a mile. The e-commerce giant earned $134.4 billion in revenue, as compared to the forecasted $131.5 billion. Amazon Web Services also raked in $22.1 billion in revenue. At the time of writing, Amazon stock price is trading 65% above its yearly low.
The price chart for NASDAQ: AMZN shows the price is maintaining its bullish market structure on the daily chart. The price suffered a 2.7% correction before making a new higher high on 31 August. The price is having a pullback right now, and it is down 1.33% from last week’s high of $138.
My Amazon stock price forecast will remain bullish as long as the $126 holds. Due to the bullish market structure, I expect the price to make new yearly highs. However, this scenario might become invalidated if the price breaks below the $130 price level. In this case, the July low of $126 could be a valid price target for the bears.
In the meantime, I’ll keep sharing updated Amazon shares and my personal trades on my Twitter, where you are welcome to follow me.
This post was last modified on Sep 05, 2023, 18:50 BST 18:50