Amazon.com, Inc. (NASDAQ:AMZN) scheduled to report fourth-quarter earnings on Thursday after the closing bell

Amazon.com, Inc. (NASDAQ:AMZN) scheduled to report fourth-quarter earnings on Thursday after the closing bell

Amazon.com, Inc. (NASDAQ:AMZN) scheduled to report fourth-quarter earnings on Thursday after the closing bell

Amazon.com Inc. is scheduled to report fourth-quarter earnings on Thursday after the closing bell and SunTrust Robinson Humphrey analysts warn the e-commerce giant has a patchy track record with holiday quarter estimates.

Analysts there expect a “solid” fourth-quarter report, but leave the door open for a miss.

“History shows that Amazon has had limited success in exceeding Street expectations for revenue in 4Q, likely due to the lack of visibility at the time guidance is given, and difficulties in forecasting a high amount of sales volume in such a small window,” analysts wrote.

Before the fourth quarter of 2017, the last time Amazon AMZN, -1.96%   exceeded Street expectations was fourth-quarter 2009, according to SunTrust.

“To be clear, Amazon fares OK with meeting its own expectations, having exceeded the midpoint of its Q4 guidance 67% of the time in the last nine Q4 prints, and four out of the last five,” the note said.

Amazon has guided for revenue of $66.5 billion to $72.5 billion.

Overall, the bias in prices is: Sideways.

The projected upper bound is: 1,779.63.

The projected lower bound is: 1,496.19.

The projected closing price is: 1,637.91.

Candlesticks

A black body occurred (because prices closed lower 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 25 white candles and 25 black candles.

A falling window occurred (where the bottom of the previous shadow is above the top of the current shadow). This usually implies a continuation of a bearish trend. There have been 3 falling windows in the last 50 candles–this makes the current falling window even more bearish.

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 46.5473. This is not an overbought or oversold reading. The last signal was a sell 4 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 52.06. 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 buy 21 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 -87. This is not a topping or bottoming area. The last signal was a sell 10 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 0 period(s) ago.

Rex Takasugi – TD Profile

AMAZON COM closed down -32.680 at 1,637.890. Volume was 31% below average (neutral) and Bollinger Bands were 17% narrower than normal.

Open High Low Close Volume___
1,643.5901,645.0001,614.0901,637.890 4,837,711

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 1,660.06 1,595.22 1,714.94
Volatility: 36 58 45
Volume: 5,412,998 7,087,648 5,570,649

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 gapped down today (bearish) on normal volume. Possibility of a Runaway Gap which usually signifies a continuation of the trend. Four types of price gaps exist – Common, Breakaway, Runaway, and Exhaustion. Gaps acts as support/resistance.
AMAZON COM is currently 4.5% below 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 13 periods. our momentum oscillator has set a new 14-period low while the security price has not. This is a bearish divergence.

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