Possible but not very likely ......scenario for MSFTA follower asked me if ??? could be the next place for MSFT. That intrigues me to relook at the chart and my conclusions is as follows -
1. That fall, if it happens will be similar to 15 Nov 21 where it falls almost 40% from its peak to end the bottom on 7 Nov 22.
2. I draw 2 support level to show where it is likely to fall back on and ONLY when support level 2 is breached, will I consider the likelihood of it going to ??? level
3. The bullish trend is still strong and intact. For the price level to come down to ???, it has to first breach the 260 price level (after support level 2).
Fundamentally, the company is growing from strength to strength and its financial figures remain strong.
Therefore, I will not be overly pessimistic and draw premature conclusions about where the price level will falls to. There are so many options and tools that one can use to anticipate the moves of the stock charts and only on hindsight can one say he is right or wrong. That is why trading is a higher risk game that short term traders are betting against the price level.
From a longer time frame, I will be happy to accumulate more shares if it falls to support level 1 as I believe it will continue to rally higher. However, this pullback may take a while for it to go sideway before the move up, imo. So, I will watch the chart over the next few months and not in a hurry to get in.
I hope my two cents of analysis offers a different perspective to some of you and show you the importance of investing for the long term instead of day to day performance where the ups and downs , the bearish pin bar or engulfing candles become your target.
