Some of the biggest names in tech are gearing up to report earnings this week. While investors will be eagerly anticipating the results, one top technician says there's a name that you should get out of before the results come in: Amazon.
The company is set to report Thursday after the bell, and its shares have been bouncing around for several months now. The tech giant briefly held the honor of being the world's largest company by market cap at its October highs. However, what followed was a relatively steady path downward toward the December lows, and Carter Worth, head of technical analysis at Cornerstone Macro, isn't buying the shares' latest bounce to the upside.
"This security, which has been in a perfect uptrend repeatedly — over, and over and over — clearly broke trend," notes Worth. "And when it broke trend, it dropped about 37 percent." That 37 percent decline ended with the stock finding its bottom around $1,344 at the December lows.