AMZN got off to a good start, but when the rally failed to make headway above a midpoint Hidden Pivot resistance at 952.63, it telegraphed the weakness that followed. For now, I’d suggest using the bearish pattern shown to get a tradeable handle on the stock. It may have to be dragged kicking and screaming down to the 926.86 target, but that’s where it looks like it’s going. I have already broached a still-lower target at 910.27, but we’ll take ’em one at a time for now.________ UPDATE (Aug 29, 5:15 p.m.): DaBoyz trapped bears on the opening, pulling their bids in order to take the stock $10 lower to dry up sellers. However, the subsequent, engineered short squeeze failed to generate a bullish impulse leg on the hourly chart; that would take a print exceeding 958.86. Until such time as that occurs, the staying power of this rally will be suspect. The 910.27 downside target will remain viable as long as the stock trades no higher than 967.86._______ UPDATE (Aug 30, 9:29 p.m.): Bulls regained control with today’s nasty short-squeeze to 969.41. Bears were caught in the ringer at the close and will be fighting for their lives when stocks open Thursday morning. Anything above 969.65 will be telegraphing more upside over the near term to at least 974.54._______ UPDATE (Aug 31, 11:29 p.m.): Buyers blew past 974.54; now let’s see whether they can push this gas-bag above the 996.28 peak recorded August 8 on the way down. That would be where the rally starts to look interesting. There’s a beautiful looking head-and-shoulders pattern developing on the 240-minute chart, but I’ve dissed such patterns so many times that I won’t say much about it now.
