When Giants Stumble: A Detailed Analysis Of Microsoft's Unexpected 6% Slump After Soaring To A Historic High Of $349

• Microsoft's bold $69 billion bid to acquire gaming giant Activision Blizzard has sparked a legal battle with the United States Federal Trade Commission (FTC), which argues that this merger could hinder competition in the online gaming market.
• Parallel to this legal conflict, Microsoft's stock price is wrestling with the $350 mark, a resistance level that has stood firm since November 2021.
• Microsoft declined by 6% after failing to break past $350 and is currently holding at support before the next attempt at the all-time high.

Microsoft Corp MSFT, the tech industry giant, has made a bold move with a $69 billion bid to acquire gaming powerhouse Activision Blizzard.

However, this unexpected merger has caught the attention of the United States Federal Trade Commission (FTC), which believes it could harm competition in the online gaming arena.

As legal battles unfold, another intriguing battle is taking place between Microsoft's stock and the $350 psychological resistance level.

Since November 2021, the $350 stock price level has been a significant obstacle for Microsoft.

In that time, the stock has experienced a substantial 38% drop before finally finding support in November 2022.

It took seven challenging months for the stock to recover, and since then, buyers have been pushing to reach new record-breaking heights.

On June 16th, there was an attempt to reach the $350 peak, but the price faltered and retreated 6% to the 20-simple moving average (SMA) level.

It is currently holding up at this level, and there is anticipation for a bounce back. If there is enough momentum, there is a possibility that Microsoft's stock could surge past the coveted $350 level.

Microsoft has historically shown impressive performance in bullish trends. From 2009 to 2021, the company experienced an incredible price rise of 2200%.

Now, if Microsoft's stock surpasses $350, we may witness another promising bull trend. Investors who seize the opportunity to join the potentially unfolding trend can anticipate significant long-term profits.

However, the unresolved legal battle with the FTC represents a significant unknown variable.

This could have implications not only for Microsoft's stock price but also for the general perception of the company as a tech industry leader.

The outcome and impact of the FTC's challenge are yet to be determined, including its potential effect on the stock's trajectory towards, and potentially exceeding $350.

After the closing bell on Tuesday, June 27, the stock closed at $334.57, trading up by 1.82%.