Amazon Sustains Below $3,300 Price Area – Will Decline Further?


Amazon is holding the bearish momentum below $3,300 to $3,250 price area. Amazon sustains below $3,300 psychological event area. Will the price decline further lower in the coming days. What are the charts and technical indicators are saying? Read more to find further insights into today’s AMZN Technical Analysis.

May 12, 2021, | AtoZ Markets – Amazon is currently trading around $3,225 price area and trying to climb upward. After rejecting $3,550 to $3,500 key resistance area, the bears have regained momentum and pushed the price down, and broke below $3,300 to $3,250 significant support level. As per the current price action, the price may retrace higher towards $3,250 to $3,300 price area in the coming days.

Amazon Sustains Below as the Bears Are Optimistic

AMZN is currently residing near $3,225 price area and trying to recover higher. However, the price also broke below the dynamic level of 20 EMA on the intraday chart.

Amazon Sustains Below

Image: AMZN 4 Hour Chart

According to the 4-hour chart, Amazon sustains below and currently trading around $3,225 price area. As per the current price action, the price may climb upward towards $3,250 to $3,300 price area in the process. So, if the price can break over $3,250 to $3,300 price area with an impulsive bullish candle, the bulls may regain momentum and recover upside towards $3,500 to $3,550 price area in the days ahead. Alternatively, if the price rejects $3,250 to $3,300 price area with an impulsive bearish candle, the bears may sustain the bearish pressure towards $3,130 to $3,100 price area in the coming days.

In addition, the dynamic level of 20 EMA is currently residing above the price. So, it may work as strong resistance to push the price down. Along with this, the Stochastic Oscillator lines are currently residing below the 0.00 level and had a bullish crossover. It indicates that the bulls may recover further upside in the process.

AMZN May Push Further Lower

According to the daily chart, Amazon sustains below and currently residing near $3,225 price area. As per the current scenario, the price may recover higher towards $3,250 to $3,300 price area in the process. So, if the price rejects $3,300 to $2,250 price area with a bearish candle, the bears may continue to push the price lower towards $3,130 to $3,100 price area as a first target. The second target will be $3,030 to $3,000 price area if the price can break below $3,130 to $3,100 price area in the coming days. On the other hand, if the price can break above $3,250 to $3,300 price area with an impulsive bullish candle, the price may recover higher towards $3,500 to $3,550 price area in the process.

Amazon Sustains Below

Image: AMZN Daily Chart

Also, the dynamic level of 20 EMA is currently residing above the price. Along with the Kijun line and the Tenkan line. So, the dynamic level may work as strong resistance to push the price downside. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the days ahead. However, the Kumo Cloud is still holding the price as support. It indicates that the bulls are still residing on the market and may strike upside in the process.

To conclude, after an impulsive bearish momentum, the price requires an upside retracement. An impulsive daily close is needed to identify the definite momentum in the coming days. 

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