AMZN broke up from the rectangle. AMZN did not reach targets but up coming earnings can totally mess with targets.
Earnings can be so volatile. Even with a beat, as we have seen, if a security is way up, it does not seem to matter what earnings are. Folks will go so high for the time being.
There is a wide rising wedge which is bearish. The two trendlines are not super narrow at the apex. A rising wedge narrows and the 2 trendlines converge at the apex in a narrowing fashion. This one is a wide one so no telling and I will not venture to guess.
Possibly the worst case scenario is it will return to the interior of the rectangle. Securities can break up from a rising wedge as well. It may be short lived but does happen. I have found the rising wedges that have a super narrow apex fall the worst when the time comes.
No recommendation
I should have turned that orange line to green because the top line of a rectangle becomes support after price breaks it.
Earnings can be so volatile. Even with a beat, as we have seen, if a security is way up, it does not seem to matter what earnings are. Folks will go so high for the time being.
There is a wide rising wedge which is bearish. The two trendlines are not super narrow at the apex. A rising wedge narrows and the 2 trendlines converge at the apex in a narrowing fashion. This one is a wide one so no telling and I will not venture to guess.
Possibly the worst case scenario is it will return to the interior of the rectangle. Securities can break up from a rising wedge as well. It may be short lived but does happen. I have found the rising wedges that have a super narrow apex fall the worst when the time comes.
No recommendation
I should have turned that orange line to green because the top line of a rectangle becomes support after price breaks it.
Comment:
This is a fat rising wedge
Comment:
AMZN has passed down through the upper trendline of rectangle (orange line) which could have been support. So it has violated a strong support level so far at 3554.