After dropping from about $340 to $310, Microsoft (MSFT) is starting to bounce back strong. It’s also starting to pivot from over-extensions on RSI, MACD, and Williams’ %R. Also, from a current price of $321.80, we’d like to see MSFT rally back to $340 initially.

Helping, MSFT was just added to Wells Fargo’s Tactical Ideas list for the fourth quarter. In fact, as noted by Seeking Alpha, “Analyst Michael Turrin, who has an overweight rating and $400 price target on Microsoft (MSFT), said there is a ‘favorable path’ forming ahead of an improving rest of the year, with several key catalysts.”

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“The catalysts include the coming first-quarter earnings, which Turrin said is likely to be the low-point in growth, with potential for re-acceleration in the second half of the year, due to improving trends in the PC market, stabilization in Azure and early AI adoption. For Azure, Turrin said he is expecting growth to stabilize at 27% year-over-year, with the potential for upside due to easier comparisons and further contributions from AI.”

Sincerely,

Ian Cooper