$AMZN TOP 20
Added 2024-08-04 18:19:43 +0000 UTCAnother eventful week for $AMZN but so far it has moved exactly as expected which is why we trimmed $AMZN when it rejected at its 50 Day MA line at the $188 resistance level, before its earnings.
Very happy with the pull back now and losing the 200 Day MA to finish the week.
Now we are looking for support to be found in order to see a bounce for Wave B, Wave A can typically finish on the 200 Day MA or anywhere between the 0.236 Fib and the 0.5 Fib, it would need to encounter enormous selling pressure to pull back lower than the 0.5 Fib.
For me, regardless of what happens, I am going to start scaling in as we approach the $141 level, even if this is not the bottom, I will DCA in, as I believe in $AMZN for long term, and if I am happy to buy at $141, I will certainly be happy to buy below this level and on the 0.618 Fib at $127.
A rule of thumb, any fundamentally undervalued position under their 200 Day MA is considered a safe area to buy, what we want is a margin of safety, the 0.5 Fib at $141 provides that.
