Marina Lyubimova
⬤ Amazon shares are trading inside a clearly defined tightening wedge on the 4-hour chart, showing consolidation after recent price moves. The pattern features converging trendlines—lower highs pressed down by descending resistance and higher lows lifted by rising support. The setup has caught trader attention as a technical compression phase building alongside solid fundamental momentum.
⬤ The chart shows a multi-swing wedge formation, pointing to balanced forces between buyers and sellers as volatility contracts. This pattern typically signals digestion of earlier price action rather than trend breakdown. AMZN has stayed within wedge boundaries, holding above rising support while testing overhead resistance multiple times. The consolidation has developed without structural damage, suggesting active market participation instead of distribution.
⬤ Revenue expectations remain strong heading into the next quarter. Quarter-over-quarter growth around 17.2% would add roughly $31 billion in new revenue within three months. That kind of expansion is impressive even among mega-cap companies, showing Amazon's capacity to scale revenue at its current size. These fundamentals provide context for the current technical consolidation playing out on the charts.
⬤ The setup carries weight for broader markets since AMZN is a major index component and key indicator for both consumer demand and cloud services. Tightening price compression often comes before increased volatility, which can ripple across large-cap tech stocks. As Amazon trades within this wedge while revenue growth projections stay elevated, how the pattern resolves could shape near-term market tone and sector leadership.
Marina Lyubimova
