FX.co ★ Technical analysis of Amazon for May 16, 2022

Amazon continues to follow Livermore's Accumulation model. We were looking for a decline to 2,351 as point 13. However, the drop accelerated lower. Point 13 is now more likely to be near 2,053 and after a brief consolidation, more downside pressure towards point 14 near 1,470 is expected.

Despite this model being almost 100 years old, nothing much has changed in financial behavior. When the market is gripped by fear, traders get cautious.