Amazon Stock Forecast: Are AMZN shares headed back to $3,176?

AMZN was recently rejected at an earlier resistance level at $3,762.
This gives the Amazon chart a clear double-top formation.
There is little clear support until $3,450.

Clay Webster FXStreet

Amazon (AMZN) investors must be at least somewhat anxious after shares put in a nearly perfect second leg of a double top formation on Friday, November 19. AMZN shares immediately bounced lower after hitting $3,762. Shares closed down sharply that session, and dropped off precipitously on Monday. Tuesday and Wednesday then offered up matching doji candles before the Thanksgiving weekend commenced.

Besides the AMZN double top, shares seem uncertain against the coming Black Friday sales, which announce the start of the US Christmas shopping season. This season is typically when Amazon does its best. If Amazon stock does not see a quick rebound next week, the result may be a fallback to support at $3,176.

Amazon Stock News: 'Tis the retail season

Amazon is currently preparing for Cyber Monday, which now starts on Saturday. Go figure. However, one of the heaviest shopping weekends of the year is taking place as a group of workers and activists is staging a protest called Make Amazon Pay on Black Friday. The group published a list of 25 demands that include higher wages, more sick leave, making Amazon pay more taxes and forcing the e-commerce giant to reduce its carbon footprint.

On Tuesday, Amazon said goodbye to a 14-year veteran of the C-suite. Cameron Janes, who most recently ran the physical store unit, made the decision to leave. On the same day, Amazon Web Services (AWS) announced a deal with Compagnie Financière Richemont, a major Swiss luxury retailer.

In a press release, the cloud king said, "Richemont will close its European data centers and migrate additional data centers in Hong Kong and the US to AWS by the end of 2022. As part of its digital transformation strategy, the company will move more than 5,000 virtual machines and 120 SAP instances to AWS to modernize its infrastructure, raise its security posture, and drive automation across its global operations."

Also, Amazon Music said it was exclusively releasing a new version of Taylor Swift's "Christmas Tree Farm".

Amazon Stock Forecast: Time for a pullback

AMZN stock's immediate rejection at $3,762 leads us to believe that this was a true double bottom. If so, Amazon shares should pullback in the next few weeks.

$3,450 is one level that has served as both support and resistance in recent times. The more likely target for bears though is all the way down at $3,176. AMZN bounced off this support floor on three separate occastions – June 7, August 20 and October 4. One reason to believe this is that the long green and red daily candles on November 18 and November 22 are perfect mirrors, and thus the rejection seems real.

The Relative Strength Index (RSI) never even reached 70 on the recent swing high. This signifies that bulls are none too hungry at the moment. The current reading has flatlined at 57. Expect this to fall below 50 next week as protests scare away potential buyers, who will wait for a better entry point.

AMZN 1-day chart

Premium

You have reached your limit of 3 free articles for this month.

Start your subscription and get access to all our original articles.

Subscribe to Premium Sign In

Author

Clay Webster

FXStreet

Clay Webster grew up in the US outside Buffalo, New York and Lancaster, Pennsylvania. He began investing after college following the 2008 financial crisis.

AUD/USD falls to near 0.7100 after slipping below 50-day EMA

AUD/USD depreciates after registering minor gains in the previous day, trading around 0.7120 during the Asian hours. The technical analysis of the daily chart shows the pair consolidating sideways within a rectangle pattern, as neither bulls nor bears gain control. The AUD/USD pair is holding a slight bearish tone however as it sits beneath both the nine-day and 50-day EMAs.

Japanese Yen edges up but remains close to the 160.00 intervention threshold

The Japanese Yen edges up against the US Dollar on Friday, but the USD/JPY pair remains above 159.90 at the time of writing, unable to put a significant distance from the 160.00 level, considered the limit of tolerable JPY weakness for Japanese authorities.

Gold returns to the red, awaits US NFP

Gold price is looking to test the weekly lows, while in the red near $4,450 in the early European session on Friday. The precious metal remains vulnerable amid ongoing geopolitical turmoil. Traders will closely monitor the developments surrounding the US-Iran peace deal and the US May employment report later on Friday.

Arthur Hayes' “Holy Trinity” is dead: Exits Zcash after Orchard Pool exploit

Arthur Hayes has entirely dumped his “Holy Trinity” holdings by offloading his Zcash holdings on Friday. The privacy coin is down 13% so far on Friday, extending Thursday’s 26% decline after an Orchard Shielded Pool audit revealed a critical vulnerability that allowed the undetectable minting of fake coins. Hayes continues to hold Worldcoin ahead of the upcoming SpaceX Initial Public Offering, on the chance of a “high-beta proxy” rally.

Nonfarm Payrolls set to show stable labor market in May as markets digest Fed hawkish shift

The United States Bureau of Labor Statistics will release the Nonfarm Payrolls data for May on Friday at 12:30 GMT. Investors expect NFP to rise by 85K following the surprisingly strong 185K and 115K increases recorded in March and April, respectively.

Recession on paper: What really moves the Canadian Loonie now?

Statistics Canada handed the headline writers a gift and the analysts a headache. Real GDP shrank 0.1% on an annualized basis in the first quarter, and with the fourth quarter of 2025 revised down to a 1.0% contraction, that is two negative quarters in a row, the textbook definition of a technical recession and Canada's first since the pandemic.