AMZN update

amzn 24 oct 2011amzn may 2012

On the left the prognosis as of Oct 24 2011, on the right what actually transpired. The  structure here is that of a diagonal triangle (which is not a triangle) or in plain English , a wedge. They have overlap and are highly predictive. In this case the “normal” prediction would be for a drop to about $160 seeing that that is the “base”of the wedge. In these markets things seldom work out precisely as the stock only dropped to $167 but that is still almost $80 from the top of $245.

Since the low the stock has gone back up and is about to double top. It is quite amazing how investors, whoever that may be, do not seem to have a care in having so recently burnt their fingers and yet willing to do the same thing all over again. A sell.