Welcome brothers to a new video of my channel brothersindividends, i invite you to subscribe so you can watch my most recent videos as soon as I publish them
In todays video we talk about Amazon, an impressive portal for online shopping.
even sectors of the population that normally don't use the internet are finding the usefulness of online shopping
It is an easy choice, considering you can browse what you want on your computer, and online shopping companies like amazon will put the purchased item on your door.
Online shopping is further expanding the globalization of commerce, encouraging competitiveness and efficiency all over the world, which i understand, but at the same time i would rather support the national industry, or that closest to me, since it improves living conditions in my surroundings. I don't understand why the whole world has surrogated their production to china, i think it's a mistake.
On the technical analysis of amazon: it is in an absolute free rise, where in 1998 it was worth 2 dollars, nowadays the share costs 1000.
It is an impressive increase in price, but i'm old enough to remember many of the internet and tech companies that didn't make it, and whose shareholders lost most if not all of what they invested.
I see it as currently way overpriced, I don't think it is a company for me as long term investor, and I think whoever invests in it should know and understand the company they are investing in.
On the other hand, it is important when investing in countries outside of your monetary zone to do so when your currency is strong compared to the one you want to invest in. In my case, I am in the eurozone and I would have to buy amazon in dollars. For me, this would require that the euro was strong at that time, and never with the dollar below 1,40.
I think amazon is an extraordinary company with very likely a promising future, but it is not my kind of investment.
My choice as long term investor are very solid companies, with very high dividend and a clear and predictable future. In the case of amazon I don't feel all those conditions check.
As always, I don't offer advice or information, but only explain my opinions and my choices which may be right or wrong. Remember, only you can choose in what you invest in. It is your money and you are responsible for it, so you need to decide by yourself.
No matter what you do, best of luck in your investments!