Technical analysis is an amazing way of following the markets. In our last video, we did a detailed Amazon stock price analysis, plus some other markets like EUR/USD, USD/CHF, USD/CAD and AUD/CHF. If you are new to technical analysis, please make sure to read these articles:
- How to Use Technical Analysis in Forex and Stock Trading
- Does Technical Analysis Work?
- Chart Analysis [Video]
Also, please make sure to watch this video which is related to the below article, and please don’t forget to Subscribe to Our YouTube Channel. If you want to become a consistently profitable trader, you need to follow our videos religiously.
Amazon Stock Analysis
Click Here to watch the video of this part that starts from 05:20. Please like the video 🙂
Amazon’s stock has been going up very strongly. The highest high it has formed is at $3,342.68 which is formed by 2020.07.13 daily candlestick. Since then, Amazon’s stock price has been moving sideways, and it has already formed a Bollinger Bands Squeeze chart pattern as well. If Amazon’s uptrend wants to be continued, it will have to break above the $3,342.68 resistance level. It means, one of the daily candlesticks has to close above the $3,342.68 resistance level:
The same Bollinger Bands Squeeze and a resistance level formed at $2,523.74. Then, Amazon broke above it on 2020.06.08, and it went up and retested the broken resistance level by 2020.06.12 and 2020.06.15 candlesticks. After that, the 2020.06.15 candlestick formed a Piercing Line Candlestick Pattern which is a kind of Bullish Engulfing Pattern, above the $2,523.74 resistance level. Then the uptrend continued. Same thing can be repeated again:
Click Here to watch the video of this part that starts from 00:00.
Click Here to watch the video of this part that starts from 03:08.
Click Here to watch the video of this part that starts from 03:33.
AUD/CHF has already formed a strong long trade setup on the monthly time frame, but it seems Bollinger Middle Band is working as a resistance on this time frame, because three of the candlesticks are stuck below it:
Therefore, it is expected that AUD/CHF goes up and forms an uptrend on the monthly time frame. It means this market is going to be bullish at least for the next several months or even years.
However, on the daily chart, this market has been moving sideways for several candlesticks and it seems a resistance line is formed on the chart. If this market wants to follow the strong long trade setup formed on the monthly chart, it has to break above the sideways market resistance line. If you don’t know how this system works, please read this article: Bollinger Bands Squeeze Trading Strategy