$MSFT Lags the Market While Another Bear Flag Takes Shape
$Microsoft(MSFT)$ — Bear flag breakdown, with further RS divergence as the next bear flag develops
After leading the initial breakdown, $MSFT is forming another bear flag off the March 27 low, with VCP and RS bearish divergence developing even as the broader market rallied.
Price is now sitting on the flattening 10-MA, with a declining 20-MA approaching towards the price.
Market Cap $2.7T | ADR: 2% | Avg $ Volume: $14B
As I wrote on MAR18:
Microsoft has broken below a 7-year trendline support and failed to reclaim it during the early March bounce, despite a 10 vs 20-MA golden cross attempt.
The past 6 weeks of tight, congestive price action have developed into a bearish flag with price is now less than 5% away from its 9-month low.
There are actually multiple mega cap tech chart on the brim a 6/9-month low breakdown, which could amplify any significant downward price acceleration to the market cap weighted ETF charts (eg. $XLK $MGK) due to their heavy weight.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
