The recent drops in stocks often will offer medium-term dip-buying value. Don’t forget that geopolitical risk tends to have far less of an impact on stock markets than you may otherwise think. Another aspect to be aware of here is that the recent Russian/Ukraine crisis may cause the Fed to slow down its aggressive rate of rate hikes. If it does signal a slow down in this month’s rate meeting then that should be more supportive for Amazon stocks as lower interest rates mean more business positive financial conditions.

Amazon stock is heading towards a period of seasonal strength now from February 24 through to April 25. Over the last 15 years, Amazon gained 13 of those years between the dates above. The average return is 12.34% and the maximum loss has been 16.09%. Is this now the perfect time to buy into the dip in Amazon or should traders wait to see where Amazon bottoms out first? Is there yet another twist in this Russia/Ukraine crisis still to come?

Major Trade Risks: The main risk here is any increase in the geopolitical risk from the Russia/Ukraine crisis. If the Russia/Ukraine risk fades that should boost stock prices.


HYCM Lab is a financial analysis source that provides regular insights on how global news affects the markets including forex, commodities, stocks, indices, and cryptocurrencies*. Run by the HYCM team, it equips traders with everything needed to make informed trading decisions.