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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 248.41+1.6%Nov 10 3:59 PM EST

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To: GST who wrote (52546)4/24/1999 4:48:00 PM
From: Sarmad Y. Hermiz  Read Replies (5) of 164684
 
GST,

Here is an observation that really amazes me, and may give a clue to playing amzn.

Everyone knew for weeks that amzn will report on April 28. Everyone also knew that amzn will move up in the days leading to April 28. So you'd think the price rise would be priced into the stock starting with the reporting season (early April). Therefore no great run up in the last few days. Well the facts are different. Even though there is no new information, the run up is occurring in the last 3 days.

Also, everyone knows there will be a sell-off after the report. It happened to amzn after Q4. It happened to yhoo with good earnings. Also eBay, last time. Has any net stock not sold-off from earnings-induced highs ? So this selloff is scheduled for Thursday April 29. You might think the sell-off is priced into the stock. Well I bet it isn't. People won't think about it until Wednesday April 28 at 2 PM.

So according to this non-scientific calculation the best time to sell amzn or buy puts is Wednesday AM after the gap-up open surge.

Question. Has anyone been following the net stocks earnings. in aggregate, Have they been good, bad, neutral ?
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