Microsoft stock upgraded from Buy Candidate to Strong Buy Candidate after Tuesday trading session.

The Microsoft stock price gained 3.98% on the last trading day (Tuesday, 18th Jul 2023), rising from $345.73 to $359.49. It has now gained 6 days in a row. It is not often that stocks manage to gain so many days in a row, and falls for a day or two should be expected. During the last trading day the stock fluctuated 7.19% from a day low at $342.19 to a day high of $366.78. The price has risen in 8 of the last 10 days and is up by 6.36% over the past 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 45 million more shares were traded than the day before. In total, 65 million shares were bought and sold for approximately $23.25 billion.

D.A. Davidson is very positive about MSFT. The price target was set to 325 (Feb 08, 2023).

The stock lies in the upper part of a wide and strong rising trend in the short term, and this may normally pose a very good selling opportunity for the short-term trader as reaction back towards the lower part of the trend can be expected. A break-up at the top trend line at $367.29 will firstly indicate a stronger rate of rising.Given the current short-term trend, the stock is expected to rise 17.89% during the next 3 months and, with a 90% probability hold a price between $386.07 and $432.98 at the end of this 3-month period.

Mostly positive signals in the chart today. The Microsoft stock holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $342.09 and $336.28. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Monday, June 26, 2023, and so far it has risen 9.40%. 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). Volume is rising along with the price. This is considered to be a good technical signal.

On the downside, the stock finds support just below today's level from accumulated volume at $305.41 and $304.83.There is a natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, Microsoft finds support just below today's level at $305.41. If this is broken, then the next support from accumulated volume will be at $304.83 and $295.37.

In general the stock tends to have very controlled movements and with good liquidity the risk is considered very low in this stock. During the last day, the stock moved $24.59 between high and low, or 7.19%. For the last week the stock has had daily average volatility of 2.76%.

Since the Microsoft has been rising for 6 days in a row, the risk over the next couple of days has increased. We don't expect a major reaction as the stock is in very good shape technically, and therefore hold a positive evaluation despite the very short term risk.

Microsoft holds several positive signals and is within a strong rising trend. As the old saying says, "Let the trend be your friend.'". We therefore consider it to be a good choice at these current levels and we are expecting further gains during the next 3 months.We have upgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Strong Buy candidate.