As explained in a previous supply and demand stock forecast for Microsoft Corp (NASDAQ: MSFT), we were expecting price to pull back to a strong imbalance around $139 per share and that’s what it has ben doing for more than two months since that price level was reached last March 2020.
Microsoft Corp (NASDAQ: MSFT) is clearly uptrending, if you are not aware of these imbalances in the bigger timeframes you will probably be selling short shares of Microsoft stock or using bearish option strategies that will end as losses for the same reason.
An image is worth a thousands words, so it’s better than you take a look at the updated Microsoft stock supply and demand technical analysis and forecast in the screenshot below representing the monthly timeframe.
I’ve also recorded a video analysis update for Microsoft stock, watch it below if you have a few minutes to spare.
There are many news and fundamental analysis you could read about Microsoft stock, will it really matter when it comes to making a trading decision? Not really! I could show you hundreds of examples where you will see that fundamental analysis was priced in the price of the underlying stock and a strong imbalance just took control and price moved with it disregarding any fundamental analysis.
Will it matter if Microsoft Corp said that it would create its first data centre region in Italy under a $1.5 billion investment plan as the U.S. company expands its cloud computing services to more locations across the world?
Microsoft’s rival Amazon Web Services last week opened a data centre region in Milan, while in March Google’s Inc sealed a partnership with former phone monopoly Telecom Italia to expand cloud business operations in Italy. Analysts expect the Italian cloud market to grow at a double digit pace in the next few years as companies, will this help Microsoft? Most likely. But it has nothing to do with where and how supply and demand imbalances are created.
If you want to learn how to trade using our supply and demand trading strategy, join our supply and demand stock trading course.
Any Advice or information on this website is General Advice Only - It does not take into account your personal circumstances, please do not trade or invest based solely on this information. By viewing any material or using the information within this site you agree that this is general education material and you will not hold any person or entity responsible for loss or damages resulting from the content or general advice provided here by Set and Forget, its employees, or fellow members. Futures, options, and spot currency and stocks trading have large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the Forex and futures markets. Don't trade with money you can't afford to lose. This website is neither a solicitation nor an offer to Buy/Sell spot Forex, cfd's, stocks or other financial products. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed in any material on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.
High Risk Warning: Forex, Futures, and Options trading has large potential rewards, but also large potential risks. The high degree of leverage can work against you as well as for you. You must be aware of the risks of investing in Forex, futures, and options and be willing to accept them in order to trade in these markets. Forex trading involves substantial risk of loss and is not suitable for all investors. Please do not trade with borrowed money or money you cannot afford to lose. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. We will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. Please remember that the past performance of any trading system or methodology is not necessarily indicative of future results.