Amazon Preview: Expectations?
Amazon (NASDAQ: AMZN) reports today after the bell and the chart gives us some guidance -- and not of a positive sort.
The inability to get back over the 200DMA, along with a failed breakout over the last couple of days, is not encouraging. The weekly options are looking for a roughly $16 move on the bell this evening, which makes it real tough -- that's a big move in percentage terms but it's probably not overstating the case.
Chart-wise I'd be inclined to be short, but the risk here on any beat of expectations, given the fall from the highs, is extreme -- the potential for a squeeze is very real. Do note, however, that any such squeeze is likely not something that will hold up beyond a day or two as the short ratio is very low.
Read the full analysis at Market-Ticker.org here.
