This is a buy signal.
Remember that amzn has a lot of institutional friends. Sure, its going down on high volume relative to the avg volume. What happens when the volume drops. I bet the institutions take it higher on low volume.
My guess is that it goes down from here and then rallies hard into Friday.
This is a short-term call.
Long term, this stock should be sub $100.
'Short chatter' on a yahoo stok board doez not equate to short interest, which iz relatively low right now. This pig haz lots of room to fall - if not for any thing just to squish the knife catchez who think they are catching a falling knife but instead find themselvez crushed under a fallen volkswaggon bug... Dummiez. Sybs gonna enjoy this ride down.... Its been long and comming.
My guess is that short interest has increased since earnings. There are plenty of retail shorts looking for a quick score.
You and I are on the same page when it comes to the long-term.
Short-term, I'm looking for it to continue to drop on high volume, but when the volume dries up, it'll bounce.
We shall see.