Stronger technical forecast for Microsoft stock price after Monday trading.StockInvest.us, 1 month ago
The Microsoft stock price gained 0.81% on the last trading day (Monday, 23rd Oct 2023), rising from $326.67 to $329.32. During the last trading day the stock fluctuated 2.56% from a day low at $324.42 to a day high of $332.73. The price has fallen in 6 of the last 10 days and is down by -0.15% for this period. Volume fell on the last day by -2 million shares and in total, 23 million shares were bought and sold for approximately $7.49 billion. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.
On Oct 20, 2023, it was reported that KeyBanc gave MSFT a "Overweight" grade with a "hold" action.
The stock is moving within a 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 $304.40 and $329.67 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 a sell signal from the short-term Moving Average; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the stock giving a positive forecast for the stock. On further gains, the stock will meet resistance from the short-term Moving Average at approximately $329.98. On a fall, the stock will find some support from the long-term average at approximately $326.42. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sell signal. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The stock should be watched closely. Some negative signals were issued as well, and these may have some influence on the near short-term development. A sell signal was issued from a pivot top point on Monday, October 16, 2023, and so far it has fallen -1.00%. Further fall is indicated until a new bottom pivot has been found.
Microsoft finds support from accumulated volume at $327.50 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 $8.31 (2.56%) between high and low. For the last week, the stock has had daily average volatility of 2.08%.
Microsoft holds several positive signals, but we still don't find these to be enough for a buy candidate. At the current level, it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development.We have upgraded our analysis conclusion for this stock since the last evaluation from a Sell to a Hold/Accumulate candidate.Check full Microsoft forecast and analysis here.