Tech Stocks: (AMZN) Amazon Stock Price Nearing $160?

Are There Any Chances That Amazon Will Find Itself Under Another Downward Pressure?

AMZN: Primary Impulse Could Have Just Begun To Form Its Final Part.  - 1

Could Amazon Stock Price draw a zigzag? 

AMZN shares are expected to develop a zigzag, which consists of sub-waves a-b-c of the cycle degree. Perhaps the market has completed the formation of the first major wave a, it represents a bullish 5-wave impulse.

Since the end of last year, there has been a decline in the price, which may indicate the beginning of the construction of a bearish correction b. This correction may take the form of a zigzag â’¶-â’·-â’¸.

Amazon

Most likely, in the near future we will see a continuation of the depreciation of stocks in the final intermediate wave (5), which may end the primary impulse wave at 93.41. At that level, wave (5) will be at 76.4% of previous impulse (3).

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After the end of the impulse wave â’¶, the stock is expected to rise in the primary correction â’·.

Another scenatio for AMZN

AMZN: Primary Impulse Could Have Just Begun To Form Its Final Part.  - 2

Let's consider a scenario in which the market has completed the formation of the primary wave â’¶. According to this markup, the wave â’¶ has the form of a leading diagonal (1)-(2)-(3)-(4)-(5).

In this case, in the last section of the chart, we see a price increase within the bullish correction â’·.

It is assumed that the correction wave â’· will take the form of an intermediate double zigzag (W)-(X)-(Y), where the actionary wave (W) is also a double zigzag W-X-Y of a lesser degree.

It is possible that the correction â’· will be at 61.8% of wave â’¶. Thus, its completion is expected to reach the level of 154.91.

An approximate scheme of possible future movement is shown on the chart.

Are There Any Chances That Amazon Will Find Itself Under Another Downward Pressure?

Jing Ren

Jing-Ren has extensive experience in currency and commodities trading. He began his career in metal sales and trading at Societe Generale in London. Later on he worked as a senior analyst within the FX brokerage industry where he developed strategies in trading and risk management. With solid understanding of market dynamics he founded Wensfer to offer research and asset management services.