Evaluation of Microsoft stock downgraded after the last trading session.

The Microsoft stock price fell by -0.223% on the last day (Tuesday, 24th Jan 2023) from $242.58 to $242.04. During the last trading day the stock fluctuated 1.46% from a day low at $240.44 to a day high of $243.95. The price has risen in 7 of the last 10 days and is up by 6.57% over the past 2 weeks. Volume has increased on the last day by 3 million shares but on falling prices. This may be an early warning and the risk will be increased slightly over the next couple of days. In total, 34 million shares were bought and sold for approximately $8.31 billion.

The last rating was given by BMO Capital on Jan 23, 2023. The price target was changed from 270 to 267.Over the last 90 days, this security got 3 buy, 18 sell, and 0 hold ratings.

The stock is moving within a wide and horizontal trend and further movements within this trend can be expected. Given the current horizontal trend, you can expect Microsoft stock with a 90% probability to be traded between $219.56 and $261.63 at the end of this 3-month period. A break of a horizontal trend is often followed by a large increase in the volume, and stocks seldom manage to go directly from the bottom of a trend up to the top. Stocks turning up in the middle of a horizontal trend are therefore considered to be potential runners.

The Microsoft stock holds buy signals from both short and long-term moving averages giving a positive forecast for the stock, but the stock has a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections down, there will be some support from the lines at $238.88 and $240.63. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Thursday, January 05, 2023, and so far it has risen 8.87%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely.

Microsoft finds support from accumulated volume at $231.32 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This stock is usually traded at a good volume, and with minor daily changes, the risk is considered to be low. During the last day, the stock moved $3.51 (1.46%) between high and low. For the last week, the stock has had daily average volatility of 2.29%.

Microsoft holds several negative signals and we believe that it will still perform weakly in the next couple of days or weeks. We, therefore, hold a negative evaluation of this stock.Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Sell candidate.