The market went up today based on expectations a solution for the fiscal cliff is around the corner. In my opinion, even if the deal was not that near the market should still go up since a solution is definitely coming. The equilibrium for the system is to reach a solution. So give yourself a comfortable time frame and pick a cheap stock with growth prospect. I myself picked MSFT, and I have been telling you why.
Today MSFT added 30 cents to close at 27.32. On the fundamental side we have Office 365 going to sell for iOS and Android, which I think is going to be a huge cash cow considering the burst in Mobile devices and the useless they are without any Productivity package.
My sister loves her Samsung tablet but keeps asking me how to creat a word document. She can only edit them using Wifi. I find that as a very clear limitation to non W8 tablets.
So here comes MSFT with cool tablets devices with USB and Keyboard and Office for about the same price as an Android or Ipad.
On the technical side the price action keeps adjusting to my expectations but I’m still waiting for the big green bar (3% up) that MSFT has always shown after a big sell-off. See below:
I was hoping for a catalyst to fuel this green bar at the same moment MSFT announced plans to increase Surface Production and retails stores where to buy it. See here. The news come handy and confirm previous rumors. Earnings estimates should be increased as Surfaces sales will grow not to say will spike in December.
Finally, I’m planning to add once the stock breaks above 27.65 zone. Which would be previous support converted into resistance. If the stock can hold above that level I will increase my position.
Thanks for passing bye.
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