Is It Time To Buy Amazon Stock?

Shares of Amazon.com, Inc. AMZN have held above an important support level, and the stock could be forming a base for a new uptrend.

$3,520 was resistance for AMZN in April and June. When it reached this level, it crashed into a wall of sellers and a downtrend followed.

But in early July, the stock soared through this resistance and traded at higher levels.

After this, many of the investors who sold at $3,520 regret doing so. A number of them decided to buy their shares back if they can get them for their selling price.

As a result, these remorseful sellers placed the buy orders at $3,520. This large concentration of buy orders turned the level into support. It could be the base for a new uptrend.