Amazon (AMZN) Near Term Bounce – Aug 5th, 2019

On Friday’s Options Action, the crew analyzed the performance of Amazon stock. Amazon has underperformed the market and its peers over the past few weeks and appears to be oversold near a bullish trendline. Expecting AMZNWealth Strength IndexAAPL is Extremely Up and trending Up to bounce higher off these levels, Michael Khouw suggests buying an Oct 1800/1835 Call Vertical for $18.50 Debit. As of Friday’s close, these calls were trading at an $18.75 Debit.

We’ve structured this trade in OptionsPlay so you can analyze and view this trade along with the supporting technical chart at your convenience. You can also view the Options Action’s video by clicking on the following link: AMZNWealth Strength IndexAAPL is Extremely Up and trending Up OptionsAction Trade