Long

MSFT Bullish Trend continues

Updated

MSFT is bullish on the daily. the EMA20 serves as strong support/resistance (blue circles). MSFT broke through the 61% retrace of the recent downtrend (Wave A). Look for entry on short correction on Wave B at $162, before the stock trends up toward resistance (Wave C) at $191.

Note

MSFT hit closed slightly above the EMA20 at $167.82. However, the bearish volume and MACD may indicate more correction ahead. The next strong level of support is the $140 area, but I don't anticipate that much correction. I also expect a positive earnings report next week (29 April) given MSFT's 900% increase in demand for its software services due to teleworking and COVID-19. If price continues to fall, I would use it as an opportunity to open several LONG CALLs with a 15 May expiration.

chiefwils0n

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