Amazon stock price has reached another record high of 1852.54 in the preceding week and currently is developing slightly below this peak. The price continues the bullish rally as it is still trading above the ascending trend line and the moving averages in the daily timeframe.
Looking at momentum indicators, the Relative Strength Index (RSI) is approaching again the overbought zone as it is sloping upwards. The MACD oscillator recorded a bullish crossover with its trigger line and holds well above its zero line, suggesting strong gains.
In the wake of more positive pressures, the market could meet resistance at the aforementioned fresh high (1852.54) before being able to post a new peak. The next stops for investors to have in mind are the strong psychological levels of 1900 and 2000. An aggressive run above those levels could challenge the 261.8% Fibonacci extension level of the down-leg from 1613.91 to 1353, around 2034.
Conversely, a move to the downside could see immediate support at the 1763.62 support but should the market increase negative momentum below this area, the 50-day simple moving average (SMA) at 1694 could be the next level in focus. A stronger barrier, though, could be found at the 23.6% Fibonacci mark near the 1645.59 support since any strong violation of this point could increase chances for further losses, shifting the long-term bullish picture to bearish.
Having a brief look at the longer timeframe, the market seems to in a bullish mode as it has been trading above the diagonal line since October 2017.
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