MSFT Short Target

I had several bearish charts for MSFT and when I saw it struggle after less than stellar earnings, it looked like a great short so I took it. NQ was up over 3% on the session, but MSFT remained flat. I saw this is as a bearish signal for MSFT and I was liking my position going into close.

To my surprise, MSFT held up incredibly well today considering what happened with NQ. I'm still surprised, but I expect it to break down eventually because it's weak and remains below $430. I think the range from $396-$430 is critical, so if it hits that area I'll look to take some profit.

In addition to the horizontal support, we also have a trendline support that goes back to November of 2023. This should be an area where bulls look to defend, but if not I think it gets worse and fast. Most stocks and indexes I see are right on the edge right now and whichever direction we break from here should end up being the new direction for a few weeks at least.