Key takeout
Microsoft (MSFT) stock hit another record high on Wednesday as Tech Giant’s market capitalization approaches $4 trillion.
The company’s market capitalization temporarily surpassed the $4 trillion level early in Wednesday’s trading session, becoming the first company to achieve a milestone.
Microsoft shares rose more than 1% on Wednesday to around $503, bringing the company’s market value to $3.74 trillion. Stocks have risen 46% since 46% rose 46%, and as of Wednesday it was nearly 20% higher since the start of the year.
Investment Bank Oppenheimer believes Tech Titan has more upside space and is setting a $600 price target for Microsoft Stock due to the outlook of AI’s Revenue Growth. Meanwhile, Wedbush analyst Dan Ives told clients in a memo Wednesday that he expects Microsoft to reach the $4 trillion mark this summer.
Below we take a closer look at Microsoft’s weekly charts and use technical analysis to identify the price levels investors are looking at.
The uptrend continues
After hitting bottom near the 200-week moving average in early April, Microsoft’s stock has been gaining in 12 of the last 14 weeks, remaining a strong upward trend.
The relative strength index checks bullish price momentum, but recently crossed over to over-acquired territory, an area of ​​indicators previously coincided with the stock integration phase.
It is worth noting that volume has been turning downwards during stock movements over the last few months. This indicates that some large institutional investors may be waiting for Tech Giant’s next earnings report before deploying more capital.
Turn to Microsoft’s charts to predict that stocks may move on to the next level and find some key support levels worth monitoring during a potential pullback in stock.
Notable bullish price targets
Investors can use bar pattern analysis to predict how Microsoft’s current movement will unfold. Applying the technique will increase trends between March and July 2023 and relocate from strong near stocks beyond the 50-week MA in April. The analysis shows that the potential bullish target is around $565, ​​currently about 12% above Wednesday’s closing price. The previous trends analyzed took place over 18 weeks, indicating that if price action rhymes, the current movement could last until early September.
Select this previous trend as it followed a strong nearer above the 50-week MA and closely track how the current movement is playing after a similar proximity above the indicator.
Support level worth monitoring
The watch’s first low level is around $468, an area that is likely to attract much attention near the prominent swing high last July. If Microsoft Bulls can successfully defend this important chart location, investors can seek opportunities to buy here.
Finally, deeper retracements allow stocks to reconsider low support at the $425 level. This area finds trendlines linking the upward 50-week MA confluence of support from rising 50 weeks and an array of chart trading activities extended to March last year.
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As of the date this article was written, the author does not own the above securities.
