Stocks Rise As Apple Reverses, And Amazon May Be Soon To Follow

This article was originally published on this site

Well, that was a fun day, a lot of volatility and not a whole lot changing. It seems like we are very close to the breaking the rising wedge pattern; it could be today, it could be Tuesday. Monday is the first day of the month, so that has to be an up day, right?! First-off, everyone knows we rally on Monday, and I’m sure there will be plenty of monthly inflows, like every up 1% first day of the month.

Based on this chart, we could rally to around 4,260 if we don’t break down first. Ideally, we would a sell-off tomorrow and then a rally on Monday to test the breakdown, but I’m speculating.

S&P 500 Index Hourly Chart

Amazon (NASDAQ:) better than expected revenue and earnings. Even AWS was a bit better, even though it missed the high-end of the estimate range. For now, the stock is trading higher; I’m just wondering for how long. According to the press release, Amazon is looking for operating income in the second quarter in a range of $4.5 to $8 billion, at the midpoint that would $6.25 billion. According to my Refinitiv Data, it shows 2Q estimates of $6.9 billion. Unless I’m looking at something the wrong way, that seems like a pretty significant miss. Once investors figure that, I would be surprised if the stock didn’t sell-off.

I must have missed the part about the stock split? What happened to it? So it ran-up in into earnings on rumors of a stock split; as far I know, there has been no stock split. Do those gains, therefore, need to be nullified?

Amazon Com Inc Chart

Apple

Apple (NASDAQ:) certainly gave back all of its gains yesterday to finish down, no surprise? It really traded poorly today, and it probably has further to fall. Look, the numbers were great, but this stock is expensive, and they give no guidance. Remember when Apple decided it wasn’t going to break iPhone sales? The shopping cart thing took some time to get over. Do I believe in the company, yep? Do I think their future is bright? Yep. That doesn’t mean the stock can’t go down or consolidate some.

Apple Inc 1-Hr Chart

Original Post