Near-Term Correction: As you mentioned, there appears to be a divergence between the price action and technical indicators like MACD and RSI, suggesting that the upward momentum may be fading, and a price correction is likely.
Descending Trend: Based on your observation, the stock is currently in a descending trend on the daily timeframe, with peaks at $414.85 in September and $438.5 in October, indicating a potential test of support levels soon.
Stop Loss Level: $442 is the suggested stop-loss level based on your analysis. If the stock moves above this level, it could signal that the corrective move might be invalidated temporarily.
Target Price: Your target range is $350 - $347.5, which represents the potential support levels in case of a correction.
Recommendations:
Reduce Positions: If you hold MSFT stock, it may be a good idea to lighten your position or exit temporarily until the correction completes, especially if you're not comfortable with the potential risks.
Monitor Technical Indicators: It’s important to keep an eye on MACD and RSI on shorter intervals (daily or even hourly) to confirm if the
Chart PatternsTrend Analysis

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