Microsoft (MSFT) joined the Dow Jones Industrial Average (DJIA) nearly 22 years ago and it has delivered solid returns for buy-and-hold investors. Let's pay a visit to the MSFT charts and indicators.
In the updated daily bar chart of MSFT, below, we can see that the shares briefly corrected down below the 50-day moving average line but soon moved back above it. A test and breakout over the August/September highs looks extremely promising.
Trading volume increased on the recent decline suggesting that there may have been a small shift of ownership from weak hands to stronger hands. The On-Balance-Volume (OBV) line has been pretty stale the past three months. A move to new highs from the OBV line would be a welcome improvement to watch for.
The Moving Average Convergence Divergence (MACD) oscillator has crossed to the upside for a cover shorts buy signal and an outright buy signal looks close.