Coming into earnings selling off sets up for A pretty good reason for this thing to pop up higher, but NFLX proved that doesn't always need to be the case. RSI has continued to make lower lows on each of the last few new highs that MSFT has made. There is a lot of room to the downside for this thing to come back down to the lower trendline of the short term wedge, and long term wedge.
With the China stuff, I would expect there to be bad news in the forecast for MSFT because of it, the only thing that sets MSFT apart from these other big tech names with China issues is, it's cloud service. Cloud stocks are in a massive bubble with ridiculous evaluations, none the less, the bubble for them hasn't popped, and there would be no surprise if their was good forecasts in that area and a pop came off of this earning report.
Green Line - Long Target
Red Lines - Short Target(s)
Feels like a gamble, probably going to wait for this to hit one of the targets and short/long the other way.
With the China stuff, I would expect there to be bad news in the forecast for MSFT because of it, the only thing that sets MSFT apart from these other big tech names with China issues is, it's cloud service. Cloud stocks are in a massive bubble with ridiculous evaluations, none the less, the bubble for them hasn't popped, and there would be no surprise if their was good forecasts in that area and a pop came off of this earning report.
Green Line - Long Target
Red Lines - Short Target(s)
Feels like a gamble, probably going to wait for this to hit one of the targets and short/long the other way.