Amazon (AMZN) recently reported Q4 2019 earnings. The result of $45.7 billion online sales surpassed the Q4 2018 number of $39.8 billion. The company also announced they currently have over 150 million Prime subscribers globally. In April 2018, the global Prime subscriber base was around 100 million. Thus, in less than 2 years, Amazon has grown 50% of the Prime subscribers. The year-to-year growth comes at 20.8% which is almost two points better than what Wall Street expected. The Earnings Per Share of $6.47 was $2.51 better than the consensus. The smashing Q4 earnings report sent Amazon stock up 7.4% to above $2000.

In April 2019, Amazon announced it would offer free one-day shipping to its Prime customers. Amazon forecasted that the move would hit $800 million of its bottom line in the second quarter, which could increase to $1.5 billion in Q4. Amazon stock would stay stuck for several months before finally jolting higher in December. The investment seems to pay off as it convinced more people to join the Prime members. Revenue came in above expectation while Amazon’s spending on one-day shipping comes below its guided $1.5 billion. The Q4 results should prove to be a positive catalyst in Amazon’s stock going forward.

Amazon (AMZN) Daily Elliott Wave Outlook

Looking at the technical picture above, Amazon has been able to break above its July 11, 2019 peak ($2035.8) after the Q4 Earnings Report. The stock now shows an incomplete bullish sequence from its December 12, 24, 2018 low. A 100% – 123.6% Fibonacci extension from the December 24, 2018 low comes at $2352 – $2524 which is the next potential target for the stock. Dips from this point should continue to find support in 3, 7, or 11 swing as far as pivot at 1623.95 low remains intact.