Retail Stocks Face Key Technical Tests Ahead of Fed Decision
Amazon (AMZN), Walmart (WMT), and Target (TGT) are testing key technical levels ahead of the Federal Reserve's interest rate decision. For Amazon, shares are trading near $249.10, just below a crucial 61.8% Fibonacci retracement level.
The pre-market for Amazon looks bullish, but not overly so, according to some analysts. The last earnings call produced a massive gap, and the current price action has traders looking at it as a potential value play.
Walmart, on the other hand, is facing resistance from its 50-day Exponential Moving Average (EMA), currently trading around $108.16. The stochastic oscillator for Walmart is in an overbought condition, suggesting that some consolidation may be necessary.
Target shares are hovering at $154.60, just above the 50-day EMA support line and in a strong uptrend. Despite being oversold in the stochastic oscillator, analysts believe that Target's performance this year warrants caution and suggest waiting for a potential bounce near the 50-day EMA.