AMZN retraced over 38.2% of the 285.25/580.57 upleg (as shown on the weekly chart) to reach 451.00 (August 24, 2015 low) before carving out a consolidation zone. While the 452.65/451.00 support area holds, reclaiming 544.95 (July 27, 2015 weekly high) would signal return of strength towards the 580.57 record high for a retest (July 20, 2015).
However, a deeper pullback below 451.00 would caution bulls for further easing towards 425.57 (July 6, 2015 weekly low) near the 50% of the 285.25/580.57 upleg, which may contain the dips.
Outlook:
Short term: neutral
Long term: bullish
However, a deeper pullback below 451.00 would caution bulls for further easing towards 425.57 (July 6, 2015 weekly low) near the 50% of the 285.25/580.57 upleg, which may contain the dips.
Outlook:
Short term: neutral
Long term: bullish
