- the source for market opinions


November 27, 2017 | Can AMZN Overcome ‘Matt’s Curse’?

Rick Ackerman

Rick Ackerman is the editor of Rick’s Picks, an online service geared to traders of stocks, options, index futures and commodities. His detailed trading strategies have appeared since the early 1990s in Black Box Forecasts, a newsletter he founded that originally was geared to professional option traders. Barron’s once labeled him an “intrepid trader” in a headline that alluded to his key role in solving a notorious pill-tampering case. He received a $200,000 reward when a conviction resulted, and the story was retold on TV’s FBI: The Untold Story. His professional background includes 12 years as a market maker in the pits of the Pacific Coast Exchange, three as an investigator with renowned San Francisco private eye Hal Lipset, seven as a reporter and newspaper editor, three as a columnist for the Sunday San Francisco Examiner, and two decades as a contributor to publications ranging from Barron’s to The Antiquarian Bookman to Fleet Street Letter and Utne Reader.

With AMZN caught in a nasty short-squeeze Monday, the broad averages had difficulty selling off despite the fact that buying enthusiasm was almost nil. I recently adjusted my bull-market target for AMZN when the stock exceeded an 1181.56 Hidden Pivot objective that had kept us confidently on the right side of the trend for the last several weeks.  The target  lies about 9% above current levels, but we should still be very cautious right now, since Monday’s high occurred almost precisely at a 1211 ‘secondary pivot’. When this occurs it puts a stock in jeopardy of succumbing to ‘Matt’s Curse’, a very bearish price formation that in this case could portend a selloff to below 931. Although this seems most unlikely, we’ll keep the yellow warning flag unfurled for another day or two just to be sure.

STAY INFORMED! Receive our Weekly Recap of thought provoking articles, podcasts, and radio delivered to your inbox for FREE! Sign up here for the Weekly Recap.

November 27th, 2017

Posted In: Rick's Picks

Post a Comment:

Your email address will not be published.

All Comments are moderated before appearing on the site


This site uses Akismet to reduce spam. Learn how your comment data is processed.