Thursday, October 22, 2009

Now It's AMZN's Turn!

Nasdaq beta stocks are back with vengeance. First was Google (GOOG), then Apple (AAPL), and today was Amazon (AMZN). It announced a steller quarter result after hours and the stock jumped to $106. In this deep recession, the company's profit jumped 62%. If the AH price holds at Friday's closing, it will be ALL TIME HIGH for the stock.

This is the monthly chart of AMZN since its IPO. I don't care to do the TA analysis on a wild-looking thing like this. I'm just impressed. Usually when a stock falls from the crest (like Nasdaq dot-com bubble high), it doesn't recover. But this one did, and is about to take out the previous high.

I've been the customer ever since AMZN opened its virtual door. Its CEO, much like AAPL's CEO, has just kept at it, instead of selling out, retiring, or going into philanthropy.

About the only thing I can say about the chart is that the trendline held at the bottom, and it was a buy when it bounced off that line in November last year, at $34. It is quite possible that a few years from now I may be asking myself, "So AMZN was only $100. What was I thinking?"
Maybe I should think the unthinkable and buy the breakout.

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