Microsoft (MSFT) shows mixed trends in both stock performance and company outlook. Over the past three months, Microsoft’s stock has dropped by about 8.31%, reflecting broader market volatility, despite still being up 28% from its 52-week low. Analysts highlight some short-term pressures due to increased capital expenditures (CapEx), particularly with investments in cloud services like Azure. However, many remain optimistic about future growth, especially in Microsoft’s AI and cloud sectors. These areas are expected to accelerate in the latter half of the fiscal year, boosting profitability and stock performance
MSFT is testing strong support of 380 in a fourth corrective long-term upside wave. A break above 432, could lead potentially to a new high in the medium term. A break below 300 will lead to an invalidation of the second wave and a continuation higher. MSFT is in its long-term uptrend and a recent pullback should be used to build a buying position. Learn to Trade stocks profitably.
The Weekly MSFT chart reveals a continuation triangle that is heading toward its apex. At this point, all the buy positions have a greater probability. Overall support for the upside even if it breaks above 380 is 300 and the final long-term support for a bullish trend invalidation is much lower at 300 which means that the uptrend is still very strong and the counter trades are not an option. Following the price action we need to see a break above 435 for a continuation higher and an extension to 586.
GET THE CHART OF THE DAY EVERY DAY IN YOUR INBOX
LIFETIME ACCESS TO PRIVATE TRADING COMMUNITY $99 FOR A LIMITED TIME 48H VALID!
As the famous trader says…
“Yesterday’s home runs don’t win today’s games.”
Babe Ruth
How to trade this?
It is a fact that a strong upside resistance for Q4 2024 is 420 and If we get a confirmed break above this level we could see a strong upside continuation for 580 in the fifth long-term upside Elliott Wave. Near-term, both long trades as well as call options are in play. Take the long trade here with a stop loss just below 365. You can trade with call options as well. For inquiries about account management or copy trading please write to [email protected] or contact me on WhatsApp or Live chat.
