AMAZON SLASHES PRICES ON WHOLE FOODS PRODUCTS, STOCK FALLS
Amazon.com’s stock is currently trading at 1812.72-lower by 0.10% as compared to the previous closing price. In the pre-market trading session, the stock was trading higher by 0.10%. The stock has pared all of its earlier gains after the opening bell.
Amazon announced on Monday that it will cut prices on hundreds of products at Whole Foods starting from Wednesday. This is the third round of price cuts since the company acquired Whole Foods in 2017. According to market sources, the price cuts will last through the end of 2019.
The price cuts planned for Wednesday will extend beyond Amazon prime customers. Whole Foods will cut its prices on various products, with a focus on produce, such as greens, tomatoes, and tropical fruits.
In other news, Amazon said on Monday that it has started accepting cash payments at Mexico’s top corner store chain, Oxxo. The move will open a major channel for the company to reach millions of people in the country who depend heavily on cash. Oxxo has around 18,000 stores across Mexico.
On the technical front, the RSI is currently at 66.72% and suggests that the market can continue trading sideways. The current price is above the MA5. The %K has crossed the %D from below to the upside at around 78% and suggests that the market can move in the upward direction.
TRADE SUGGESTION- LIMIT BUY AT 1809.50 TAKE PROFIT AT 1814.50 STOP LOSS AT 1807.00