Amazon.com, Inc. (NASDAQ:AMZN) in talks to launch ad-supported music offering

Amazon.com, Inc. (NASDAQ:AMZN) in talks to launch ad-supported music offering

Amazon.com, Inc. (NASDAQ:AMZN) in talks to launch ad-supported music offering

Shares of Spotify Technology SA fell 4 percent on Monday after a report said Amazon.com Inc was in talks to launch a free ad-supported music service, which is expected to intensify competition for the music streaming leader.

Amazon would market the free music service through its voice-activated Echo speakers, a Billboard report said on Friday, adding that it could become available as early as this week.

So far, the e-commerce giant offers its Prime Music service as part of its Amazon Prime subscription service at $119 per year. Amazon Prime also offers free delivery and access to its Prime Video service.

In addition, the company sells Amazon Music Unlimited subscriptions for $9.99 a month, which is available for Prime members at a lower fee of $7.99 per month.

Spotify had 116 million ad-supported users and 96 million paying subscribers as of February 2019. Amazon has said “tens of millions” of paid customers listen to Prime Music and its standalone Amazon Music Unlimited service.

Amazon and Spotify did not respond to a Reuters request for comment.

Shares of satellite radio company, Sirius XM Holdings, were also down 2 percent at $5.97.

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

The projected upper bound is: 1,910.67.

The projected lower bound is: 1,787.82.

The projected closing price is: 1,849.24.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 28 white candles and 22 black candles for a net of 6 white candles.

A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 69.7505. This is not an overbought or oversold reading. The last signal was a sell 2 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 67.42. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 4 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 55. This is not a topping or bottoming area. The last signal was a sell 3 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 1 period(s) ago.

Rex Takasugi – TD Profile

AMAZON COM closed up 1.810 at 1,844.870. Volume was 33% below average (neutral) and Bollinger Bands were 48% narrower than normal.

Open High Low Close Volume___
1,842.0001,846.8501,818.9001,844.870 3,724,423

Technical Outlook
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 1,835.58 1,712.56 1,741.66
Volatility: 9 23 45
Volume: 3,461,791 4,182,388 5,648,483

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

AMAZON COM is currently 5.9% above its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect moderate flows of volume into AMZN.O (mildly bullish). Our trend forecasting oscillators are currently bullish on AMZN.O and have had this outlook for the last 25 periods.

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