Microsoft stock has some support in place
Microsoft Corp (NASDAQ:MSFT) stock staged a pullback after its recent July 5 record high of $468.35, currently headed for its seventh daily loss in the last nine trading sessions. At last glance today, the stock was down 1.5% at $136.75, though still up 16.5% year to date, as investors continue to rotate away from Big Tech this week.
Former pressure at the $130 level could keep losses in check, however. Plus, the negative price action has Microsoft stock within one standard deviation of its 50-day moving average, after trading north of this trendline 80% of the time in the past two months, and in eight of the past 10 trading days.
MSFT has flashed six similar signals over the past three years, after which the stock was higher one month later 67% of the time, averaging a 4.9% gain. It's also worth noting that five days after each signal, the stock was higher 100% of the time.
