Amazon’s share price has moved to yet another new all-time high, as the world’s largest online retailer continues to attract strong buying demand.
Amazon stock technical analysis shows that the RSI indicator is not yet overbought and is pointing to more gains.
Amazon US medium-term price trend
Amazon’s share price has moved to a new all-time high this week after bulls rallied the stock past the April 2020 high.
Amazon stock analysis on the daily time frame is showing that the Relative Strength Indicator is still far from overbought.
The RSI indicator on the daily time is generating a bullish 60 reading. Typically a reading of above 70 is needed to reach overbought conditions.
Looking at historical data for the RSI on the mentioned time frame, the largest declines in Amazon’s share price have come when the RSI indicator moves above the 75 level.
With this in mind, more upside appears likely over the medium-term horizon.
Amazon short-term price trend
Amazon stock technical analysis shows that the short-term trend remains bullish while the price trades above the 2,320 support level.
The one-hour time frame currently shows that a bearish head-and-shoulders pattern has been invalidated, following the move above the former all-time price high.
According to the size of the invalidated bearish pattern, a directional move of around 270 points may take place above the 2,470 level.
With this in mind, Amazon’s share price could rally towards the 2,700 level over the short term.
Amazon US technical summary
Amazon stock technical analysis indicates that the online giant’s share price could rally towards the 2,700 level. The RSI indicator is still generating a buy signal.