AMZN: TA for tomorrow (10/07/2024)

Key Levels:
Resistance Zones:

187.57: A significant resistance level that price has struggled to break above. A breakout above this could signal more bullish momentum.
186.61: A near-term resistance level where the price is currently consolidating. A break above this level could act as confirmation for more upside movement.

Support Zones:

186.03: Immediate support just below the current price level, which is being tested. A break below could lead to further downside movement.
181.96: This is a more significant support level that held previously. If price moves downward, this level could act as the next major support.
180.93: Strong support at this level, with a recent bounce, suggesting buying pressure here. A break below could signal more weakness towards 179.40.

Price Action:
There was a sharp decline in AMZN’s price before stabilizing around 181-180 levels. The bounce from that area has brought it back toward resistance levels, but the upside momentum seems to be stalling.
A descending trendline from the highs shows a longer-term bearish trend, although the price action over the past few sessions indicates a potential short-term recovery.
The current consolidation around 186-187 suggests that the market is indecisive and waiting for a catalyst to break out of this range.

Volume Analysis:
There was a spike in volume during the recent downward move, followed by decreasing volume during the consolidation and small recovery. This could indicate weak buying pressure at higher prices.
A volume spike during the test of 187.57 would be needed to break this level convincingly.

Indicators:
Oscillators indicating a possible divergence, suggesting weakening bullish momentum. Watch for any signs of bearish reversal patterns.

Strategy for Tomorrow:
Bullish Scenario: If AMZN breaks above 187.57 with strong volume, it could push higher towards 190 or beyond. The immediate resistance after that could be near 192-193.

Bearish Scenario: If AMZN breaks below 186.03 or 181.96, it could move towards testing the lower support at 180.93. A breakdown here could trigger further selling pressure, with the next target near 179-177.

Entry/Exit Points:
Bullish Entry: If AMZN breaks above 187.57, consider entering a long position with a target of 190 or higher. Place a stop-loss just below 186.03 to manage risk.

Bearish Entry: If AMZN breaks below 186.03 or 181.96, consider a short position with a target near 180 or lower. Use a stop-loss above 187.57 to limit risk.

Watchlist:
Breakout above 187.57: Watch for volume confirmation and price action above resistance.
Breakdown below 181.96: Increased selling pressure may occur if this level is breached.