Microsoft Corp (MSFT) has been retreating from a higher opening. This pullback is looking like a top reversal pattern on the Japanese candlestick chart. Let’s check.
In this daily Japanese candlestick chart of MSFT, below, the most recent candle pattern is likely to be a gravestone doji by the close of business Friday. Things could change but the market action so far today shows that traders rejected the highs. Prices are trading above the rising 50-day moving average line and above the bottoming 200-day line.
The trading volume is not super strong and the On-Balance-Volume (OBV) line has not broken above its February high even though prices have broken above the February peak. The MACD oscillator is bullish.