Amazon hit all-time highs yet again on Wednesday, continuing a monster rally that has Blue Line Futures president Bill Baruch betting the stock could surge another 5 percent.
"I have searched high and low for a reason to not like Amazon, and I can't find it," Baruch said Tuesday on a "Trading Nation" segment for "Power Lunch." "Ultimately, I think this run here could test $1,600. I think that's really the next push."
And what could be the main driver of this next leg up? The company's dedication to innovation, says the trader.
"They already own about 18 percent of the share of online grocery shopping, so that's going to continue," Baruch added. "Online grocery shopping in general is going to continue. They've redefined the supply chain management and they're going to continue to grow."
On Tuesday, reports circulated that Amazon would acquire smart doorbell-maker Ring for more than $1 billion. The deal would mark Amazon's second-biggest acquisition ever. The company's almost $14 billion purchase of Whole Foods back in June is still the largest.
Chantico Global CEO Gina Sanchez expects many more deals for Amazon down the pike. "They went into web services, and they just signed a deal with Lionsgate, that's a lot of different things," she said. "And they're getting into higher and higher margin areas, and I do think that's also important."
"Don't underestimate the innovation that's happening in Amazon because they're slowly and very surely crushing a lot of their competition," she added.
Amazon was trading at around $1,517 on Wednesday, up about 30 percent year to date.