Amazon Stock Falls Despite New Business Ventures

Amazon.com is selling its cashier-less technology

Deputy Editor
Mar 9, 2020 at 10:38 AM
facebook twitter linkedin


Amazon Inc. (NASDAQ:AMZN) is down 7.1% to trade at $1,767.03, despite a positive premarket outlook this morning. The premarket rise came after news that AMZN will announce a new business line selling the technology behind its automated checkout to other retailers. Amazon's cashier-less venture, Amazon Go, is estimated by Loup Ventures to grow to $50 billion. Despite this seemingly positive development, AMZN has fallen victim to another "fear wave" today as COVID-19 spreads.

Since a recent surge and record high of $2,185.95 in the middle of February, Amazon stock has seen a small bear gap coincide with the broad market sell-off. The shares have breached their 200-day moving average today,  bullishly, a trendline of support that was in place since late December. Now, AMZN has also given back its year-to-date breakeven point.

Analysts are almost entirely bullish, with 30 out of 34 sporting a strong buy and three more considering a buy. And despite the "panic selling" plaguing the market, short interest has fallen 2.94% in the two most recent reporting periods and represents a small 0.86% of the equity's available float.

In the options pits, calls are favored. AMZN stock has a 10-day call/put ratio of 1.39 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which sits higher than 67% of readings from this past year. 

 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 


 


 
Special Offers from Schaeffer's Trading Partners