Yesterday, we looked at XSD’s Daily Price Chart noting that the stock had been making a series of higher highs and higher lows since late March.
Today’s Chart of the Day is a Daily Price Chart with moving averages for Microsoft Corp. (NYSE: MSFT).
Back in February 2019, the MSFT 1-Month price crossed above the 10-Month simple moving-average (SMA) indicating MSFT is on a PowerTrend ‘Buy’ signal (circled).
It’s been nearly a year and a half… and the stock is still rising.
Since the PowerTrend ‘Buy’ signal occurred for the stock back in February 2019, when the stock was around $112.53, the stock has seen a 68.1% increase.
Now, as you can see, the 1-Month moving-average is still above the 10-Month SMA. That means the bullish trend is still in play!
This bullish price trend makes MSFT a good candidate for a call option purchase.
As long as the 1-Month price remains above the 10-Month SMA, the stock is more likely to keep trading at new highs in the coming days and weeks.
We’ll be keeping our eye on this stock as it continues to trend upward so we’ll know the moment the market conditions shift and the stock begins to come back down offering a better buying opportunity in a bullish market.
Editor, Chart Of The Day