Thursday, 5 June 2014

AMZN - momo stock on the climb

With the main market pushing higher on the ECB announcement ,there was particular strength in some of the momo stocks, including Amazon (AMZN) which soared, closing +5.5% @ $323. With the break above the 50 day MA, AMZN is on a charge to test the 200 day MA in the $340s.

AMZN, daily


*important to note, the gains were on sig' volume, and it certainly bodes for higher levels in the near term.

Suffice to say, AMZN is pulling away from the recent lows, and the big issue now is whether it is merely going to back test the broken 200 day MA...or..will power right through it..pushing higher across the summer.

For the equity bears seeking a broader multi-month correction in the main market, it would be 'useful' if AMZN gets stuck at the overhead 200 day MA.