Amazon’s price continues to tank after the outcry over the now-scrapped logo that was widely perceived as bearing a resemblance to mass murdered Adolf Hitler. Amazon has not tweaked the app icon, but the damage to the share price continues. Amazon price may be slightly up in premarket trading, but the bias remains bearish.
The app icon in question originally had a smile-shaped arrow under what resembles a mustache that looks like a toothbrush, much like the infamous mustache of Hitler. This logo was revealed in January as part of a redesign and rebranding of the company’s products. However, the app icon has had to be shaved (pun intended), with the tooth-brush design changed to that of a flapped envelope.
Amazon price at the close of trading on March 3 dropped by 2.89%.
Technical Levels to Watch
The breakdown of the triangle to the downside is on and Amazon share price action is now putting the 2992.92 support level at risk. A breakdown of this support area allows bears to keep pushing the descent towards 2847.57 (21 September 2020 low). The projected measured move should allow the Amazon share price to arrive at 2651.58 (29 June 2020 low), but would need the price to take out 2874.57 and 2800.94 as well.
On the flip side, some recovery could occur if the price bounces from the current support. This would target 3084.19 initially, with 3253.66 serving as additional resistance. A rejection of price at the broken triangle boundary could serve as a trigger for selling on the retracement rally.