Amazon’s Uptrend at Risk? Key Support Levels to Watch

Binni Ong
03-21

Technical Analysis of Amazon ( $Amazon.com(AMZN)$ , 1W Chart)

  • Equidistant Channel Support: The stock remains within an upward equidistant channel and is currently testing the lower boundary as support. The lower boundary at around 192.50 is a significant support level.

  • Pullback from Recent Highs: After reaching a peak above $240, AMZN has corrected but is still maintaining its long-term uptrend.

  • Key Moving Averages: The price is interacting with a key moving average (green band), which may act as dynamic support.

  • Potential Rebound or Breakdown?: If the channel support holds, AMZN could see a bounce. However, a decisive breakdown below this channel may signal further downside.

Utilizing Daily Leverage Certificates (DLCs) for Trading AMZN

Daily Leverage Certificates (DLCs) are financial instruments that offer investors leveraged exposure to the daily performance of an underlying asset, such as Amazon's stock. Here's how traders might use DLCs in this context:​

  • Bullish Scenario: If traders anticipate a rebound from the current support level, they might consider Long DLCs (e.g. $AMZN 3xLongSG261006(USAW.SI)$ )to capitalize on potential short-term gains.​

  • Bearish Scenario: Conversely, if a breakdown below the support occurs, Short DLCs ( $AMZN 3xShortSG261006(USBW.SI)$ ) could be utilized to benefit from the expected decline.

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For more information about DLCs, visit https://dlc.socgen.com/en/education/handbook 

Disclaimer: 

This document is not an offer or solicitation to buy or sell, nor financial advice or recommendation for any investment product. This document has been published for general circulation only. 

This advertisement has not been reviewed by the Monetary Authority of Singapore. This post is sponsored by Societe Generale, Singapore Branch. The content of this article does not form part of any offer or invitation to buy or sell any daily leverage certificates (the “DLCs”), and nothing herein should be considered as financial advice or recommendation. The price may rise and fall in value rapidly and holders may lose all of their investment. Any past performance is not indicative of future performance. Investments in DLCs carry significant risks, please see dlc.socgen.com for further information and relevant risks. The DLCs are for specified investment products (SIP) qualified investors only.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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