Chart of the Day: Microsoft Leads the Mag 7 and Most Others
While the endless talk of AI, semiconductors, chips/equipment and data centers have barely led to any progress, stocks such as Microsoft ($MSFT) have been quietly creeping higher. Though the stock is hardly moving under the radar, since the last earnings report Mister Softee has been on fire. Notice the candles have been blue for some time, a bullish signal on the GoNoGo composite of indicators.
Money flow has not been great, however, nor have volume trends, which are just neutral. It’s been a “steady” move for Microsoft, recently rallying into the upper Bollinger bands and following it up daily. There is nothing more bullish or more powerful than this pattern (see for yourself as the price bars started ramping up a month ago – top pane).
The ADX is at 40, telling us the trend is strong (but it does not tell the direction). Stochastics are overbought and continue to support dip buyers at every moment.
Earnings are out in a couple of weeks, but be careful as the good news may be getting priced in.
We like Microsoft in TheStreet Pro Portfolio and rate it a Two, or “stockpile on pullbacks.”
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At the time of publication, TheStreet Pro Portfolio was long MSFT.
