Amazon broke through support of $137.10 yesterday, now this level is acting as resistance.

Amazon’s stock is trading at around $134.73 a share right now. The price has broken through support of $137.10 yesterday so a retracement lower may now be possible. Although, Amazon does still have plenty of support below and seems to be in a much better position than its peers (regarding the longer-term outlook). The significant support levels sit at $125.91 (yellow) then at $123.85 (orange) and then at $120.64 (red). It’s not impossible that these levels may be tested, though it is less likely at the moment. It would require a great deal of selling pressure and weakness in the US economy in Minipip’s opinion for those levels to be broken. In the short-term, further downside is possible but longer-term we expect Amazon to remain in the bull trend. Not necessarily reaching all-time highs this year but rise above the most recent high of $143.61. Previous support of $137.10 is now acting as the key resistance for this stock unless further downside occurs. Looking at the technical indicators, MACD has turned negative on the daily but the RSI is still in a neutral position as it reads 51.