Focus on Amazon Stock Rises as News Surfaces of Potential Major Cloud Investment in Italy

Amazon’s stock is making headlines as Reuters reports that the company’s cloud computing arm, AWS, is in discussions with Italy to invest billions of euros in bolstering its data center business in the country. This news comes as AWS has recently announced plans to invest billions in cloud infrastructure in Spain and Germany as part of its expansion across Europe. This investment in Italy, although expected to be substantial, may be less than the amounts committed to other countries in Europe.

AWS originally set up a cloud region in Italy in 2020 with plans to invest €2 billion by 2029 to provide infrastructure for Italian companies to utilize advanced technologies like analytics, AI, databases, and IoT. The cloud provider has been focusing on resource-intensive applications and recently secured a deal with German telecommunications company Telefónica Deutschland.

On the stock front, Amazon shares have been on a bullish trend since early January last year, with the 50-week moving average crossing above the 200-week moving average in March this year, indicating positive momentum. Investors are advised to keep an eye on the $188 level, a key resistance point that, if breached with convincing volume, could lead to further bullish momentum. Failure to surpass this level may result in a retest of the $170 support level.

Amazon shares closed last week at $180.75, and investors are encouraged to conduct their own research and consult with financial advisors before making any investment decisions. The opinions and analysis provided in this article are for informational purposes only.

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https://www.investopedia.com/amazon-stock-in-focus-amid-report-of-possible-large-cloud-investment-in-italy-8654377