I am watching AMZN closely to see if there is an opportunity to buy puts.
I saw once AMZN went down $1, it quickly rebound. There is more potential in up side than down side. So my conclusion is that it is not a good time to short or buy puts here, at least for today (and maybe before OPEX).
Don't know. It is dangerous for both longs and shorts, and more so for shorts.
For me, I only place a bet when I have a good chance to win. I don't see it here. I know many see AMZN is overvalued. But stocks can stay overvalued for a long period of time as long as people holding stocks don't sell. And if they accumulate even just a small amount of shares, the price will go up even more. If anyone really wants to sell short AMZN, he or she should wait for the 7% drop from the 52 week high first. That is the point where longs begin to sell their shares either for a loss or profit taking. Right now the majority of the longs have no reason to sell.