Account

New to ADSS? Open an
account now to get started.

OR

Already have an account?

Add funds to your ADSS account

Account

New to ADSS? Open an
account now to get started.

Add funds to your ADSS account

Trends & Analysis
News

Week Ahead Preview: 10th of February

News

Amazon’s shares slide despite Q4 beat

News

PepsiCo’s shares climb despite Q4 sales miss

News

GBP/JPY price may drop to a Multi-month low

News

Alphabet’s shares plunge despite Q4 earnings beat

News

Gold Price Outlook – Will Gold hit a new all-time high?

Trends & Analysis
News

Week Ahead Preview: 10th of February

News

Amazon’s shares slide despite Q4 beat

News

PepsiCo’s shares climb despite Q4 sales miss

News

GBP/JPY price may drop to a Multi-month low

News

Alphabet’s shares plunge despite Q4 earnings beat

News

Gold Price Outlook – Will Gold hit a new all-time high?

Asset Watch

Is Amazon approaching a major move?

Tuesday July 2, 2024

As the bearish S&P 500 seasonality concludes and a historically more optimistic July approaches, investors will likely turn their attention to the Q2 earnings season. And with Bank of America expecting Amazon to outperform, its team of analysts increased their price target from $210 to $220 on Jun. 26. They wrote:
Amazon’s “delivery speed [has] dramatically improved, with nearly 25% of estimated units now delivered same-or-next day. However, despite significant efficiency improvement in 2023, all five logistics utilization metrics that we track (such as units per square feet) remain below 2018 levels, suggesting more runway ahead for efficiency gains from here… driving higher retail margins.”
If Amazon increases its delivery efficiencies in 2024 and moves closer to the 2018 peaks, realised profits will outperform analysts’ expectations, and the stock should benefit.
Yet, while Amazon broke out to a new record high last week, a make-or-break moment could be on the horizon.

Amazon’s July and November 2021 highs were $188.65 and $188.11, and the stock closed at $193.25 on Jun. 28. As a result, it needs to hold above the $188 area to confirm the breakout.

The 20-week moving average is also a key support level, as the stock bounced near it in April and May 2024. And with the metric ending last week at $181.15, it will keep rising the longer Amazon trades above it.

The moral of the story is that Amazon’s 20-week MA will eventually collide with the $188 breakout area, and the stock will either break down like in September/October 2023 or soar toward Bank of America’s $220 target. Consequently, you should monitor the $188 area, and if it holds, a long position is justified.

So, will Amazon mirror Apple and confirm the breakout, or should you remain cautious in the weeks ahead?


Site by Pink Green
© ADSS 2025


Investing in CFDs involves a high degree of risk that you will lose your money due to the use of leverage, particularly in fast moving markets, where a relatively small movement in the price can lead to a proportionately larger movement in the value of your investment. This can result in loses that exceed the funds in your account. You should consider whether you understand how CFDs work and you should seek independent advice if necessary.

ADS Securities LLC – S.P.C (“ADSS”) is authorised and regulated by the Securities and Commodities Authority (“SCA”) in the United Arab Emirates under First Category: Dealing in Securities and Fifth category: Arrangement and advice (Introduction). ADSS is a Limited Liability Company – Sole Proprietorship Company incorporated under United Arab Emirates law. The company is registered with the Department of Economic Development of Abu Dhabi (No. 1190047) and has its principal place of business at 8th Floor, CI Tower, Corniche Road, P.O. Box 93894, Abu Dhabi, United Arab Emirates.

The information presented is not directed at residents of any particular country outside the United Arab Emirates and is not intended for distribution to, or use by, any person in any country where the distribution or use is contrary to local law or regulation.

ADSS is an execution only service provider and does not provide advice. ADSS may publish general market commentary from time to time. Where it does, the material published does not constitute advice, or a solicitation, or a recommendation to a transaction in any financial instrument. ADSS accepts no responsibility for any use of the content presented and any consequences of that use. No representation or warranty is given as to the completeness of this information. Anyone acting on the information provided does so at their own risk.