Back to top
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Image: Bigstock
Amazon (AMZN) Recently Broke Out Above the 50-Day Moving Average
From a technical perspective, Amazon (AMZN - Free Report) is looking like an interesting pick, as it just reached a key level of support. AMZN recently overtook the 50-day moving average, and this suggests a short-term bullish trend.
The 50-day simple moving average is a widely used technical indicator that helps determine support or resistance levels for different types of securities. It's one of three major moving averages, but takes precedent because it's the first sign of an up or down trend.
AMZN has rallied 11.3% over the past four weeks, and the company is a Zacks Rank #2 (Buy) at the moment. This combination suggests AMZN could be on the verge of another move higher.
Looking at AMZN's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 10 higher compared to none lower for the current fiscal year, and the consensus estimate has moved up as well.
With a winning combination of earnings estimate revisions and hitting a key technical level, investors should keep their eye on AMZN for more gains in the near future.