It's no wonder that Amazon stock is one of the most sought-after options for investors. The company is one of the largest and most influential in the world, and its performance in the stock market is closely followed by investors and analysts alike.
In the first quarter of 2024, Amazon reported strong results with growth in all areas, which has led some analysts to increase their price outlook for the stock.
The recent split of shares at a 20-to-1 ratio makes stocks more accessible to individual investors, which could increase demand for stocks. Overall market sentiment has been positive in recent weeks, which could be prompting investors to look for high-quality stocks like Amazon.
In this article, we'll show you what you need to know about Amazon Stock CFDs, derivative financial instruments that allow you to speculate on the price movement of Amazon shares without buying them. In this guide, you'll learn how to trade the market with CFDs, as well as how to check their price in Mexico through TradeApp.
Check Amazon's stock price
Stocks are a financial product that constantly changes in price, so a professional trader should check their movements to make the best investment decision.
On TradeApp you can check the price of Amazon shares (and others) in the easiest and fastest way:
How to buy and invest in Amazon stock? Everything is easy and fast with TradeApp
Did you know that you can invest in Amazon shares from your home? TradeApp allows you to trade share CFDs, which is very easy and fast for all users, regardless of their level of experience. The steps you need to follow are as follows:
1. Open your account on TradeApp or log in if you already have one
2. Whether it's on the desktop app or in your app, tap on the 'deposit' option.
3. Once your account is funded, select the 'Trade' option.
4. You can now search for Amazon stock in the Signals section or search for them in the create an order section.
5. Ready! You can buy and sell Amazon shares at any time of the day.
To make this process even easier, we leave you a video that explains step by step how to do it now.
Everything You Need to Know About Amazon Stock
If you are going to invest in Amazon shares, then you should know some interesting facts to make your decision the right one. Here's some important information you need to know:
✅ Amazon.com, Inc. is an American company that offers multi-tiered e-commerce and cloud computing services, headquartered in Seattle, Washington.
✅ The company was established in 1994, motivated by what Jeff Bezos, its founder, called its "regret-minimizing strategy." This reflects their desire to avoid regretting that they had not been involved in the rapid growth of Internet commerce earlier in those years.
✅ Currently, Amazon.com reaches a market capitalization of $1.86 trillion, seeing an increase of 2.49% in recent months.
✅ Amazon shares reached its all-time high price on April 10, 2024, reaching a price of 189.77 USD. On the other hand, its all-time low was 0.07 USD, recorded on May 21, 1997.
✅ Amazon does not pay dividends to its shareholders, so you have to do the trading techniques (buy and sell) to make a profit.
✅ The AMZN value is 3.33% volatile and has a beta coefficient of 1.04.
Tips for investing in Amazon Stock
Amazon shares are an excellent opportunity to invest, but before doing so, we want to leave you with some tips that will help you in this and other operations:
Diversify your actions
Diversification is an important strategy when investing in stocks. By diversifying your portfolio, you reduce the risk of incurring significant losses if a specific company or industry experiences difficulties.
In addition to Amazon shares, you can buy from other consolidated companies to mitigate risk, which will provide you with hedges in case of bad streaks or double your earnings if you keep your positions positive.
Also, remember that there are more financial products, so going for commodities or currencies can also be a great option for you.
Stock success is long-term
It's common for beginner investors to fall into the trap of jumping from one stock to another, influenced by market fluctuations or breaking news. This lack of consistency can lead to decisions driven more by emotion than analysis, often leading to unfavorable outcomes.
In contrast, an investment strategy focused on the long term makes it easier to maintain a broad perspective, make decisions based on reason, and avoid the pressure to follow popular trends.
With stocks of large-footprint, capitalized companies, such as Amazon, it's much easier to make decisions based on the long term.
Little by little, you'll learn how to manage risk
Investing in stocks can bring some risks, however, there are effective methods to mitigate losses and manage risk appropriately. Recommended strategies include: Setting loss limits: it is necessary to determine a tolerable maximum level of loss. If the value of the stock falls below this threshold, it is advisable to dispose of the investment to avoid further losses. Investing in established companies: Opt for companies that have a proven track record of profitability and financial strength. These companies are generally less likely to experience drastic declines in their values, as is the case with Amazon stock. Don't just rely on stocks: it' s best to gradually try to diversify your portfolio with other investment paths. For example, at TradeApp we have Commodities, Indices and Currencies
Conclusions
Investing in Amazon shares can be a great idea, especially if you're looking for how to get into the stock market safely and minimize the risks of losses. Best of all, in Mexico you have a quick and easy option on TradeApp, so this is no longer an activity for professionals.
Remember that, despite being an established company, buying Amazon shares can bring its risks, so you must do it very carefully and knowing that there may be losses in the process.
------------------------------------------------------------------------------------------------------
Risk Warning: Trading Contracts for Difference (CFDs) carries a high level of risk to your capital, as prices can quickly move against you and result in significant losses. CFDs are leveraged products, which means you can lose more than your initial investment. Please ensure that you fully understand the risks involved and consider your level of experience before trading. You may want to seek independent advice. Past performance is no guarantee of future results.
------------------------------------------------------------------------------------------------------
You may also be interested in reading 👇