Microsoft -> Very Bullish Inverted Head And ShouldersHello Traders,
welcome to this free and educational multi-timeframe technical analysis.
Microsoft just recently perfectly tested and rejected a quite strong and obvious previous support/resistance zone towards the upside. It also seems like Microsoft is about to create a double bottom from a weekly perspective, which is generally speaking a very bullish pattern, leading to more upside potential.
On the daily timeframe we actually have a quite interesting situation. You can see that the market is currently crating an inverted head and shoulders and just yesterday and today broke above and retested the neckline, which again is simply previous resistance which is now turned support.
Now from here I do expect further continuation towards the upside, confirming the bullish inverted head and shoulders pattern.
Thank you for watching and I will see you tomorrow!
Microsoft (MSFT)
MSFT daimond bottomThe diamond bottom pattern is not a common formation but is considered a strong bullish reversal pattern amongst technical analysts. This bullish reversal pattern first expands from the left-hand side and then contracts into a narrower range, until price breaks out above the resistance line and completes the pattern.
MSFT Microsoft Bought 49% Stake in OpenAI creator of ChatGPTMSFT has reached our Buy area:
Microsoft purchased a 49% stake in OpenAI, creator of ChatGPT, for $10 billion.
Which i think it will turn out to be the best investment in MSFT history!
Microsoft Corporation (MSFT) integrates Chat GPT into its Bing, Office, and it Azure service!
Now looking at the MSFT Microsoft options chain ahead of earnings , I would buy the $245 strike price Calls with
2023-2-27 expiration date for about
$1.60 premium.
If the options turn out to be profitable Before the earnings release, i would sell at least 50%.
Or at least buy shares for the long run! They will compete with GOOGL thanks to OpenAI.
Looking forward to read your opinion about it.
Trading Idea 007: MicrosoftMarket Conditions:
- bearish trend
- correction movement
- bullish sentiment in the market
Key Level and Lines:
- $241.51 resistance
Trading Ideas:
- go long after a consolidation around the resistance
- a false breakout and bearish sentiment in the market = trade opportunity for shorting.
Microsoft (MSFT) Q2 2023 EarningsMicrosoft (MSFT) reported the second fiscal quarter 2023 financial results after the market close. EPS beat the low estimates but revenue came below expectations, Azure cloud unit showed strong growth. Here are the key points:
Earnings per share came at $2.32 a decline from $2.48 a share a year ago but topping the expectations of $2.27.
Revenue for the quarter came at $52.7 billion below the expectations of $52.94 billion. Revenue growth is 2% (YoY) which is the slowest pace since 2016.
The Intelligent cloud revenue reported at $21.51 billion below the estimates of $21.43 billion.
Server products and cloud services revenue increased 20% driven by Azure and other cloud services revenue growth of 31%.
Azure grew 38% (YoY) topping the consensus of 37%. Here are the last quarters Azure growth:
Q3 ’21: 48%
Q4 ’21: 46%
Q1 ’22: 49%
Q2 ’22: 46%
Q3 ’22: 42%
Q4 ’22: 38%
Revenue in Productivity and Business Processes was $17.0 billion.
Revenue in More Personal Computing was $14.2 billion and decreased 19%.
Operating income was $20.4 billion GAAP and $21.6 billion non-GAAP
Diluted earnings per share were $2.20 GAAP and $2.32 non-GAAP
Here is Microsoft’s $MSFT December Quarter Revenue since 2006
2006: $12.5B
2007: $16.4B
2008: $16.6B
2009: $19B
2010: $20B
2011: $20.9B
2012: $21.5B
2013: $24.5B
2014: $26.5B
2015: $23.8B
2016: $25.8B
2017: $28.9B
2018: $32.5B
2019: $36.9B
2020: $43.1B
2021: $51.7B
2022: $52.7B
Microsoft Analyst’s Expectations and latest Price Target
Analysts expected Microsoft to report earnings per share of $2.27 and revenue of $52.94. Revenue growth for the Azzure segment is expected to grow by 37%.
On January 20, Mizuho reiterated Microsoft at Buy and reduced the price target from $305 to $290. Guggenheim on January 17, downgraded MSFT from Neutral to Sell and set a price target of $212.
MICROSOFT - EARNINGSMSFT is trading under key resistance as seen by the white trendline. The price action and trend still favors downside bias however there is a key gap fill around $257 that would be a perfect short level if it popped off of earnings.
Based off of the rally in the indexes, MSFT has been a lagger in tech which could be displaying relative weakness.
MSFT Potential for Bearish Continuation| 20th January 2023Looking at the H4 chart, my overall bias for MSFT is bearish due to the current price being below the Ichimoku cloud , indicating a bearish market.
Looking for a pullback sell entry at 244.79, where the overlap resistance and 50% Fibonacci line is. Stop loss will be at 263.91, where the recent swing high is. Take profit will be at 213.47, where the previous swing low is.
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MSFT Potential for Bearish Continuation| 20th January 2023Looking at the H4 chart, my overall bias for MSFT is bearish due to the current price being below the Ichimoku cloud, indicating a bearish market.
Looking for a pullback sell entry at 244.79, where the overlap resistance and 50% Fibonacci line is. Stop loss will be at 263.91, where the recent swing high is. Take profit will be at 213.47, where the previous swing low is.
Any opinions, news, research, analyses, prices, other information, or links to third-party sites contained on this website are provided on an "as-is" basis, as general market commentary, and do not constitute investment advice. The market commentary has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is therefore not subject to any prohibition on dealing ahead of dissemination. Although this commentary is not produced by an independent source, FXCM takes all sufficient steps to eliminate or prevent any conflicts of interest arising out of the production and dissemination of this communication. The employees of FXCM commit to acting in the clients' best interests and represent their views without misleading, deceiving, or otherwise impairing the clients' ability to make informed investment decisions. For more information about the FXCM's internal organizational and administrative arrangements for the prevention of conflicts, please refer to the Firms' Managing Conflicts Policy. Please ensure that you read and understand our Full Disclaimer and Liability provision concerning the foregoing Information, which can be accessed on the website.
MSFT Big Short side possibleWe have a very small inverted hammer on the weekly. This is a bullish reversal. We need to see confirmation over the next couple days. The weekly 200ema is feeling the pressure of MSFT trying to push lower.
On the daily we see multiple attempts at the 9 EMA. We also see strong resistance and selling pressure in the 228.40-232.20 area. We also see similar behavior on the weekly chart. Right now the area holding up MSFT from lower lows is the 225-228 area.
Long trigger is 230 - 231
Short trigger is 222 - 224
Watching this one closely.
This one based on the weekly is a 50/50
based on the daily I think we will see some lower consolidation before a direction is decided on the weekly.
Elliott Wave View: Microsoft (MSFT) Looking to Extend the Next LCycle from 12.13.2022 high is in progress as a 5 waves impulse Elliott Wave structure. Down from 12.13.2022 high, wave 1 ended at 233.87 and rally in wave 2 ended at 245.77. Internal subdivision of wave 2 unfolded as a zigzag structure. Up from wave 1, wave ((a)) ended at 240.87 and pullback in wave ((b)) ended at 233.94. Final leg higher wave ((c)) ended at 245.77 which also completed wave 2. Wave ((c)) unfolded as a 5 waves diagonal where wave (i) ended at 240.8 and wave (ii) ended at 233.94. Wave (iii) higher ended at 241.92, pullback in wave (iv) ended at 236.66 and final leg higher wave (v) ended at 245.77.
The stock has resumed lower in wave 3. Down from wave 2, wave (i) ended at 237.40 and rally in wave (ii) ended at 241. The stock resumed lower in wave (iii) towards 225.96 and rally in wave (iv) ended at 229.89. Wave (v) lower is expected to end soon which should end wave ((i)) in higher degree. Afterwards, expect wave ((ii)) rally to correct cycle from 1.3.2023 high before the decline resumes. Near term, as far as pivot at 245.77 high stays intact, expect rally to fail in 3, 7, or 11 swing for further downside. Potential target lower is 100% – 161.8% Fibonacci extension from 1.3.2023 high which comes at 195.9 – 215.
Gap fill down completed, back to 240sI posted an idea back in October where I predicted MSFT would hit an initial target of 265 (bottom of yellow box). It reached low 260s and fell just shy of that, leaving a gap open. It pulled back to fill that gap today.
Market is setup for a bounce in the coming weeks, and MSFT will follow. For MSFT I see the pop post Oct earnings as a sign of strength (SoS) after accumulating - this pullback is the backup/retest of support. From here it will run to fill gap at min (237) and likely continue into the 240s by Jan 20. Will re-eval there.
The play on this discount today is the Jan 20 235 calls.
MSFT: Crashing? Yes. Scary? Nope.• MSFT just hit our target at $228, as it did exactly what we expected since our previous public analysis on it, almost a month ago (the link is below this post, as usual);
• Despite the high volatility, this movement is very technical and not surprising at all, but in order to bounce again, MSFT has to react as soon as possible;
• The problem is that any bounce will face at least two resistance levels in the daily chart: First the $238, second the 21 ema;
• Only if MSFT breaks these key resistances it might do a clear reversal structure;
• If not, we can expect a continuation of this bearish sentiment all the way down to $212, the next technical support level;
• Therefore, let’s pay attention to the $228 support, as now would be the best time for a reaction.
Remember to follow me to keep in touch with my daily analyses!
SPY - kung fu chop the chopIn review. I see a lot of people complaining about "chop" lately. These are not the people to be following in my honest opinion. There is opportunity in all markets it is just a matter of risk management and being able to navigate the choppy waters. Circled some of the opportunity I took in this "Chop"
A week in review these are some of the best trading days I have had.
Sometimes the easiest trading is done in chop but you have to be patient and let it come to you.
Don't let the chop push you off course. Stick to your trade criteria and navigate accordingly. You just need to be patient, post your lookouts, and be ready to sound the alarm to enter the right trade.
Set alerts off of great areas of value so you don't have to spend the entire day staring at the screen.
Trade safe have fun!
MSFT, 10d+/-21.27%falling cycle -21.27% more than 10 days.
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This data is analyzed by robots. Analyze historical trends based on The Adam Theory of Markets (20 moving averages/60 moving averages/120 moving averages/240 moving averages) and estimate the trend in the next 10 days. The white line is the robot's expected price, and the upper and lower horizontal line stop loss and stop profit prices have no financial basis. The results are for reference only.
🚘 Tesla Is Leading The Stock MarketJust as we believe that bitcoin will bottom before the S&P 500 Index, in the same way we believe that Tesla will bottom before the other major tech giants.
At present time going down fast and strong would seen like something really bad.
A stock dropping is surely bad for the investors but these markets move in cycle, they go up and down, up and down...
At a later point in 2023, things will turn around.
You will see the Tesla (TSLA) stock growing while other tech giants such as Apple, Microsoft and Google will still have a long way down to go.
This will be a positive for Tesla investors, as they will be seeing their stock growing while everything else is still searching for a market low.
Out of crisis, opportunity comes.
Once we hit bottom, the only place left to go is up.
This major downturn we will see in 2023, we will turn into a positive once it is over and done.
We learn from mistakes.
Out of tough situations innovation and evolution is the result.
Look at Bitcoin/cryptocurrency as an example, it is the result of the 2008/09 fiasco.
Namaste.