Hello guys, I guess part of you have enjoyed MSFTs great performance yesterday. As you would expect, that kind of price action didn’t surprise me at all since I know the stock is worth easily around 35 bucks and it requires the string of negative news to keep coming to go down even further. As long as that stops MSFT will find a bottom fast as I think it did already.
One important piece of data I found is that after the close someone bought around 10 Million shares, that’s not normal at all and it adds to the positive fact that yesterday the stock went up on big volume forming a nice engulfing pattern that finally could not hold until the close due to the sell-off of the whole Market.
I know MSFT is going higher this month I just can’t predict the daily action, that’s almost impossible. What I also know is that I got out of AAPL on time. I was long since 600 in that stock, I suffered and added to my position to enjoy the big bounce. I sold at 585 after noticing the stock was getting weak and shorts were piling up. I did recommend on stocktwits.com to swap it for MSFT. AAPL is now more that 8% down and MSFT is down 2%.
There’s a big possibility MSFT goes up hard in the coming days, i saw the stock do the same thing a short time ago:
Overall, MSFT is more likely to get suprises to the upside than to the downside these days. I couldn’t say the same about AAPL a week ago, that’s why I sold it.