Will Amazon Uphold its Seasonal Trend?
Will Amazon Uphold its Seasonal Trend?
Summer can be a weaker time for many stocks, but Amazon’s seasonals tend to show a sizzling summer, especially during June and July. In fact, July has been the strongest month for Amazon’s stock price over the last 15 years. Recently, Amazon has announced plans to bring ChatGPT-style artificial intelligence to Alexa-powered gadgets. Will this help stock prices rise in the near-term on all the artificial intelligence hype?
From June 1 to July 31, Amazon shares have gained 80% of the time with an average return of over 8%. The maximum gain has been an impressive 28.07% in 2020, and the largest loss was in the global financial crisis of 2008 with a 4.85% fall. Will Amazon’s seasonals send Amazon stock higher again this year?
Major Trade Risks: The major near-term trade risk here is a possibility of a drop in sentiment if the US debt ceiling deal does not get through Congress.
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