Amazon.com Stock Higher Ahead of Dow Debut

The e-commerce tech giant will replace Walgreens Boots Alliance

Amazon.com Inc (NASDAQ:AMZN) stock was last seen up 1.3% to trade at $169.27, following news that the e-commerce giant will replace Walgreens Boots Alliance (WBA) on the Dow Jones Industrial Average (DJI) effective on Monday, Feb. 26. At last check, WBA is down 2.8% to trade at $21.69. 

AMZN remains not too far off its Feb. 12, two-year high of $175.39, with support stemming from both the $165 level and its 20-day moving average. The shares have risen 78.4% in the last 12 months, and 11.1% in 2024.

Options bulls are wasting no time, with 166,000 calls traded so far — double the intraday moving average — compared to 51,000 puts. Most popular is the weekly 2/23 260-strike call.

Calls look like a good way to go. The stock’s Schaeffer’s Volatility Index (SVI) of 27% ranks in the relatively low 18th percentile of its annual range, meaning premiums are affordable at the moment. 

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