On Monday, September 25, the e-commerce behemoth Amazon (NASDAQ: AMZN) made a strategic announcement, revealing its commitment to invest a substantial sum of up to $4 billion in Anthropic, a noteworthy player in the realm of artificial intelligence (AI). Anthropic, often regarded as a formidable competitor to OpenAI, the creators of ChatGPT, are now poised to have Amazon as a minority stakeholder.
This strategic maneuver by Amazon signifies the corporation’s unwavering dedication to asserting its dominance in the field of artificial intelligence. Amazon is in a relentless pursuit of maintaining parity with its formidable rivals, notably Microsoft and Alphabet’s Google, who have been making substantial strides in the AI sector.
In a pivotal development, Amazon and Anthropic have formalized a strategic partnership to advance generative AI, with Amazon Web Services being designated as the principal cloud service provider for Anthropic. This collaboration marks a significant stride in harnessing the potential of AI, which has undoubtedly become a cornerstone of technological innovation.
Intriguingly, investors now find themselves in a state of keen anticipation regarding the trajectory of Amazon’s stock price for the forthcoming month of October. Given the prevailing uncertainties pervading the semiconductor stock landscape, we turn our attention to the realm of quantitative analysis. Leveraging the formidable AI algorithms of CoinCodex, we derive a projected price for Amazon’s stock on October 1, which stands at a notable $123.
Notably, our gaze extends beyond the immediate horizon, with projections indicating a potential trade value of $125 one month from today and a more ambitious figure of $174.81 one year hence.
AMZN technical analysis
Turning our attention to the technical aspects, an analysis of Amazon’s stock chart reveals a current sentiment that leans toward the bearish end of the spectrum. Over the past 30 days, Amazon’s stock has experienced a degree of price volatility, with 12 out of 30 days being marked by gains. Notably, this volatility has led to a current trading position that sits 4.92% above the CoinCodex forecast.
In recent months, Amazon’s stock has oscillated within a substantial price range, spanning from $128.52 to $145.86. Presently, it finds itself perched towards the lower end of this range, a factor that has been exacerbated by a recent downward trend.
Given these circumstances, prudence suggests caution in establishing new long positions at this juncture. There exists a support zone in the range of $128.15 to $129.11, underpinned by a convergence of multiple trend lines across various timeframes. Conversely, a resistance zone between $135.31 and $140.40 has emerged, characterized by the confluence of multiple trend lines and significant moving averages across multiple timeframes.
A noteworthy statistic to consider is Amazon’s impressive value growth, which has recorded a remarkable 13.6% increase over the past year. However, in the immediate term, the stock is currently trading at a 4.9% premium over our five-day forecast.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.