If stocks are not in imminent danger of a wholesale collapse, we should see evidence of it soon in the form of a trampoline bounce in this stock from the red line (see inset). It is a key Hidden Pivot support, and a dramatic reversal from it would imply the stock is recharged for a shot at 746.32, my best-case target for the next 8-10 weeks. From a trading standpoint, ‘mechanical’ bids from 598.66 would require a stop-loss at 549.44. The implied entry risk would be $4922 per round lot, but we could try to reduce that to a theoretical $200 or less by using the ‘camouflage’ technique to get aboard. Stay tuned to the chat room for real-time guidance on this. _______ UPDATE (January 11, 2016): My 598.66 downside target came within 9 cents of catching the low of a so-far $9.34 bounce. For those of you who acted, cover half here, around 608.00. _______ UPDATE (9:27 p.m): The suggested trade worked well, producing a quick gain of as much as $2000 for each round lot bought at the 598.66 target flagged above. A stop-loss as tight as ten cents (0.10) would have worked, since AMZN’s intraday low was 598.57. Since no subscribers reported doing the trade, however, I am not establishing a tracking position. _______ UPDATE (January 12, 8:46 p.m.): AMZN generated a robustly bullish impulse leg with today’s thrust, but let’s see how the stock does today with Hidden Pivot obstacles the rally created at p=622.92 and p2=628.25. As always, an easy move through either of these resistance points would imply more upside to the next.
