Amazon's stock bounces back in wake of 'death cross' pattern

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Amazon.com Inc.’s stock surged 1.6% in morning trading Friday, to bounce back after falling in the previous session while its large-capitalization technology peers rose as a bearish “death cross” chart pattern appeared. On Thursday, the stock’s 50-day moving average (DMA) crossed ( below the 200-DMA. Many chart watchers believe that pattern, known as a death cross, marks the spot a shorter-term pullback transitions to a longer-term downtrend. The 50-DMA is currently at $1,782.02 and the 200-DMA is at $1,787.71, according to FactSet. The last death cross that appeared was on Dec. 12, after the stock had already lost 18% from the Sept. 4, 2018 record close of $2,039.51. The stock fell another 19% in 8 sessions before bottoming. Amazon’s stock had slipped 0.1% on Thursday, while shares of Apple Inc. had climbed 1.4%, Microsoft Corp. rose 0.6% and Google-parent Alphabet Inc. gained 0.6%, while the S&P 500 had tacked on 0.6%. The 50-DMAs of Microsoft, Apple and Alphabet shares are still well above the 200-DMAs.

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