Two major US stocks are showing potentially constructive technical setups as the new trading week begins, with Amazon (AMZN) and Bank of America (BAC) both recovering from important channel-support areas.
Amazon: Rebound Within Ascending Channel
Amazon shares are recovering within an ascending price channel after rebounding from the lower boundary near $255.00.
The next important technical hurdle is around $267.00. A sustained move above this level could strengthen the bullish setup and open the way toward the $275.00–$280.00 area.
However, failure to hold the recent rebound could send the stock back toward channel support, making price action around $255 particularly important.
Bank of America: Recovery From Channel Support
Bank of America remains within a broader ascending channel and has also started recovering after testing the lower boundary near $61.00.
A sustained move above $62.50 could provide confirmation of renewed buying momentum, with potential upside targets around $64.00–$65.00.
A rejection below the breakout area could instead leave the stock vulnerable to another test of channel support.
Key Levels to Watch
Amazon (AMZN)
- Support: $255.00
- Breakout level: $267.00
- Upside targets: $275.00–$280.00
Bank of America (BAC)
- Support: $61.00
- Breakout level: $62.50
- Upside targets: $64.00–$65.00
Market Outlook
Both stocks are showing recovery patterns within ascending channels, but confirmation remains important. Sustained breaks above their respective resistance levels could strengthen the bullish setups, while renewed selling pressure could invalidate the near-term recovery scenarios.
Traders should also consider broader market conditions, Treasury yields, earnings expectations and overall risk sentiment when evaluating these setups.
Past performance does not guarantee future returns. Trading and investing involve substantial risk, and you may lose some or all of your invested capital.