I reviewed the charts of Microsoft on March 17 and concluded that "In case you were wondering, a gravestone doji is bearish... what else could it be? Let's watch and let things 'settle out' a bit." How have things continued to evolve?
Let's check the charts again.
In this updated daily Japanese candlestick chart of MSFT, below, I can see that prices were weak on Monday and confirmed the gravestone doji as a top reversal pattern. Top reversals can mean that prices move sideways or that they turn lower. The daily trading volume is strong but the price reaction is not.
The On-Balance-Volume (OBV) line shows only a tepid increase in recent days. The slow stochastic indicator is very overbought and that kind of market condition typically sidelines technically oriented traders. 
In this weekly Japanese candlestick chart of MSFT, below, I see that prices are 2/3 toward a weekly reversal pattern. The latest candle is a spinning top pattern after a strong white candle. This gives us two parts of a three part reversal pattern. The last part of the reversal will be a bearish candle (red) to confirm the reversal.
The weekly OBV line shows only limited buying while the MACD oscillator has not yet crossed the zero line for an outright buy signal.
In this daily Point and Figure chart of MSFT, below, I see a mixed picture. Prices have just made a new high for the move up at $280 and the uptrend should be "refreshed." There is an upside price target shown but the price action is stalled. What gives?
Bottom line strategy: Let's put this all together - an overbought stock price with bearish candle patterns and the lack of aggressive buying despite a new high on the Point and Figure chart. Some may say I am trying to read too much into these charts and I reply that extra caution may be warranted.
