A quick look at yesterday: pronounced bearish sentiment in the market pushed the tech and retail multifaceted giant into a notable 2.98% slide yesterday, falling $3 and ultimately closing at $98.15.
This down-slide takes place while positive United States macroeconomics indicators data was published earlier – United States Producer Price Index beat the 0.4% projections, with 0.7%. United States Initial Jobless Claims improved upon its previous reading of 195,000 with a new data release of 194,000.
While price action maintains a negative bias, United States Philadelphia Fed Manufacturing Index (Feb) released yesterday at 13:30 UTC with a figure of -24.3, while the previous figure was -8.9.
Amazon could begin to recover as it approaches significant support, now 86 cents away from $97.29. Dipping below could be an indication that further losses are ahead. Despite being in the red so far in the current trading session, Amazon peaked above its 21 day Simple Moving Average around $100.22 — typically an early indicator of a new bullish trend beginning to emerge.
Despite suffering losses in today's session, technical analysis is indicating that Amazon will undergo a significant bounce in the immediate term.
Amazon was not the only decliner in the consumer discretionary sector; Walt Disney went down to $105.83, losing 3.12% after it closed at $109.24 yesterday. Tesla drops 5.69% yesterday to close at $214.24. Nike dips 2.43% yesterday to close at $127.48.
After hitting an important low of $81.82 approximately a month ago, Jeff Bezos’s company has bounced back 23.64% since.