So, you think MSFT has further upside from here? I am not a technicals expert, but looking at the chart, I thought the MACD and RSI was extended, so thought it would be due for at least a minor pullback. But once again, my knowledge in this space is limited. Let me know if and why my thinking is wrong?
Thank you so much for the great question! In general, I believe MSFT do hve further upside. Now as you pointed out, we may first consolidate a bit, especially after last 2 weeks strong gains.
Just a note on my algo. These stock picks are based on quantitative ranking. I use different momentum indicators and rank the stock within the Dow Jones. So my algo is telling me MSFT has the best momentum profile but it is a relative ranking system, not a guarantee for gains nor that it is the best set up.
Ultimately, these are short term trades, and it is very hard to predict market movements. But my research hs shown that stocks in positive momentum tend to continue to outperform. Ultimately, it is all about probability, risk-reward and have sound risk management in place. But I am definitivey not always right and there is room to improve the algo!
So, you think MSFT has further upside from here? I am not a technicals expert, but looking at the chart, I thought the MACD and RSI was extended, so thought it would be due for at least a minor pullback. But once again, my knowledge in this space is limited. Let me know if and why my thinking is wrong?
Thank you so much for the great question! In general, I believe MSFT do hve further upside. Now as you pointed out, we may first consolidate a bit, especially after last 2 weeks strong gains.
Just a note on my algo. These stock picks are based on quantitative ranking. I use different momentum indicators and rank the stock within the Dow Jones. So my algo is telling me MSFT has the best momentum profile but it is a relative ranking system, not a guarantee for gains nor that it is the best set up.
Ultimately, these are short term trades, and it is very hard to predict market movements. But my research hs shown that stocks in positive momentum tend to continue to outperform. Ultimately, it is all about probability, risk-reward and have sound risk management in place. But I am definitivey not always right and there is room to improve the algo!