What Is Microsoft's Stock Chart Saying? A Technical Analysis

Microsoft Corp. MSFT shares are trading lower Tuesday heading back toward areas of support on the chart. The price is near the 50-day moving average and could see a bounce there or near the $305 level that previously held as resistance.

Sen. John Hickenlooper recently sold a series of stocks including shares of Microsoft. The totaled sale of shares sits between the value of $250,000 and $500,000.

Microsoft was down 4.23% at $325.04 at time of publication.

See Also: This Senator Sold Off His FAANG Stocks In October And November Ahead Of Critical December Fed Meeting

Microsoft Daily Chart Analysis

• Shares recently broke out of what traders would call an ascending triangle pattern and look to be consolidating above the resistance area. Resistance was previously found near the $305 level, but this area may now become support.
• The stock trades above both the 50-day moving average (green) and the 200-day moving average (blue). This indicates bullish sentiment, and each of these moving averages may hold as an area of support in the future.
• The Relative Strength Index (RSI) has been fading lower the past months and now sits at 45 on the indicator. This shows that the stock is seeing more sellers entering the market and the overall amount of sellers is greater than the overall amount of buyers.

What’s Next For Microsoft?

Microsoft is in the stage of consolidation after seeing a large move to the bullish side. The price will continue to consolidate for a time and then will make another large move in either direction.

Bulls want to see the stock hold above the $305 level for the move to hint toward the bullish side. Bears want to see the stock fall below the $305 level and then fall below the higher low trendline. If the higher low trendline is broken, the stock could see a change in long-term trend and begin a downward trend.