Amazon (AMZN) shares hit another record high Thursday, bucking the broader 澳洲幸运5官方开奖结果体彩网:market's downturn today and boosting their year-to-date gain to 45%.&nbs🍌p;

On Tuesday, the tech giant said it’s building a supercomputer using its in-house Trainium chip෴s, which will be be used by 澳洲幸运5官方开奖结果体彩网:artificial intelligence (AI) start-up Anthropic. According to a report in The Wall Street Journal, the move positions the company to take on AI favorite Nvidia (NVDA) in the lucrative 澳洲幸运5官方开奖结果体彩网:graphics processing unit (GPU) chip market.

Separately this week, the 澳洲幸运5官方开奖结果体彩网:e-commerce titan reported record sales and number of items sold at the sta🔯rt of th♛e holiday shopping season, with the company saying the majority of sales came from independent sellers.

Amazon's gains so far in 2024 have handily outpaced the 澳洲幸运5官方开奖结果体彩网:S&P 500’s return of ab🗹out 27% over the period. The stock rose 1.1% to $220.55 on Thursday.

Below, we analyze the 澳洲幸运5官方开奖结果体彩网:technicals on Amazon’s cha🍌rt and point out key price levels that investors may be watchꩵing out for.

Ascending Triangle Retest

After breaking out from an 澳洲幸运5官方开奖结果体彩网:ascending triangle last month, Amazon shares retested the initial breakout area before moving higher, signaling a 澳洲幸运5官方开奖结果体彩网:continuation of the stock’s longer-term uptrend.

Meanwhile, the 澳洲幸运5官方开奖结果体彩网:relative strength index (RSI) confirms bullish 澳洲幸运5官方开奖结果体彩网:price action with a reading above 60, though the indicator still sits below overbought levels, providing the stock with room for further upside before 澳洲幸运5官方开奖结果体彩网:consolidating.

Let’s turn to Amazon’s chart to predict a potential 澳洲幸运5官方开奖结果体彩网:price target and identify three major 澳洲幸运5官方开奖结果体彩网:support levels that may attract buying interest during 澳洲幸运5官方开奖结果体彩网:pullbacks in the stock.

Upside Price Target to Watch

Investors can forecast an upside target using the 澳洲幸运5官方开奖结果体彩网:measuring principle, a technique that analyzes prior price move♑s to project future moves. 

To apply the tool to Amazon’s chart, we measure the distance between the ascending triangle’s two 澳洲幸运5官方开奖结果体彩网:trendlines near their widest point and add that amount to the pattern’s breakout area. Therefore, we add $50 to $200, which projects a target of $250, a chart location where investors may decide to 澳洲幸运5官方开奖结果体彩网:lock in profits.

Monitor These Major Support Levels

The first lower level to monitor sits around $200. A second retest of this aไrea would likely find buying interest near the ascending triangle’s top trendline, which🐭 may turn into a price floor.

A decisive close below this important level could see the shares slip to around $190, an area where they may encounter support near a trendline that connects multiple peaks that formed on the chart between April 💯and October.

Finally, a more significant downside move may trigger a fall to the $175 level. Investors could seek to accumulate 澳洲幸运5官方开奖结果体彩网:buy-and-hold positions in this area near a multi-month 澳洲幸运5官方开奖结果体彩网:horizontal line tha🎐t joins a range of comparable trading levels on the chart from February to September.

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As of the date this article was written, the author does not own any of the above securities.