The Bigger They Are The Harder They Fall?
The behemoths are ready to report this week, and most have run hard into the releases this week. Is it a sign that many think they are going to react positively, or are they priced for perfection? MSFT which reports Wednesday after the close has carved out a nice cup with handle that we mentioned recently. TSLA, that reports Thursday broke above a 775.05 cup with handle pivot today, and was pushed back at the very round 800 number, which could be temporary. Below is the chart of AMZN which reports Thursday after the close, and it has recorded some dubious candlesticks the last 7 sessions. Several spinning tops, which often indicate indecision and a probable pause in the incoming direction. But bulls will say a bull flag has formed and a move higher is likely. What I do know is that most breakouts are retested and AMZN is now 9% above its breakout, and perhaps that could be the catalyst. No position for me, but will be watching diligently.