$AMZN Earnings Tonight: My Thoughts On Where It Goes From Here

$AMZN reports earning tonight. If they report a massive profit, look out below. However, a negative earnings-per-share (EPS) could result in a 20% move higher.
Can you sense the sarcasm?

I did almost all my holiday shopping via Amazon this year. Who needs to get off their morbidly obese behind to shop, when $AMZN will ship free to your home? Life is good.

Life has been good for $AMZN investors as well. The stock sits just off all-time highs. Come 2016, they're expected to post over $10 a share in profit. If investors have taught us anything about $AMZN, it's that they're willing to wait for the profits.

$AMZN has been trading in a $20 channel for the last 2 months. The stock looks poised to break out of this channel to the upside. Could tonight's earnings report push the stock to new all-time highs?  I think there's a significant likelihood of a move over $420. I'll will be looking for some out of the money calls to capitalize on this possible move.

When $AMZN finally starts booking some large profits, that will be the time to short the stock/buy the puts. For now, it's business as usual.


Known to most as Uranium Pinto Beans, Jason has more than 15 years under his belt of trading stocks, options and currencies. His expertise primarily lies in chart analysis, and he has a strong eye for undervalued stock. Because he’s got the ability to identify great risk/reward trades he usually enjoys taking the path less traveled and reaping the benefits from the adventure.

He is a co-founder of Option Millionaires, and he is best known for his weekly webinars with Scott, as well as his high level training webinars and charts found in the forums.

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