Stock of the day: Microsoft

Today, let’s focus on Microsoft, which is showing strong positive sentiment after overcoming a critical technical setup. The stock had a chance to form a head and shoulders pattern, but sellers failed to capitalize on it. The anticipated breakout below the yellow horizontal support and black uptrend line never materialized, preventing the bearish scenario from unfolding.

In recent months, the price moved sideways, consolidating within a triangle pattern marked in green. The turning point came in November, when Microsoft bounced off the lower line of the triangle and the long-term uptrend line, signaling buyer interest.

The breakthrough occurred in early December, with the price breaking above the upper line of the triangle, triggering a buy signal. Since then, most trading days in December have been bullish, reflecting traders’ optimism. Microsoft is now trading at its highest level since late July, and the buy signal remains active.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-microsoft-7