MSFT Technical Set Up Ahead of Earnings: A Sell-The-News Prescription?

MSFT-- reports earnings after the close. Purely from a pattern perspective, the Dec.- Apr. bullish price channel shows its upper boundary line in the vicinity of 128.20, which should represent powerful resistance on a positive algo knee-jerk reaction to the MSFT news. If such a scenario unfolds atop a 37% four month advance, let's not be surprised by a sell-the-news response to an earnings beat the ping-pong's the MSFT price action from the upper channel boundary (128.20) to the lower channel boundary (120.00) in the hours/days directly ahead... Last in MSFT is 125.04/05

4 24 19 MSFT 4 Hr 1235 GIF
4 24 19 MSFT 4 Hr 1235 GIF
  • Action-Oriented Trade Set-Ups in Stocks & ETFs
  • Macro Analysis of the Broader Markets
  • Detailed Technical Guidance for each Trading Idea
  • Live Interaction w/ Mike & Our Member Community
  • And Much, Much More!
Join Now! - Special Offer!
Veteran Wall Street analyst and financial author, Mike provides detailed and timely analysis and trade set-ups on a range of markets. Read more...

Have Mike's “Out Front” morning analysis delivered FREE to your email inbox twice weekly!