Microsoft - potential breakout on the weekly chart

Potential breakout on the weekly chart

A potential breakout here for Microsoft on the weekly chart. We can see the share price of the tech giant has moved and closed strongly above the resistance of $434.72 last week. Suggesting bullish momentum for the short term. With the price trading higher, we may see a small pullback for a re-test of this breakout for further confirmation. The previous resistance of $434.72 should now act as support in the short term, although this is not guaranteed and the price could continue higher. As MSFT is trading at all-time highs, there is no resistance above. However, it can be argued that the next psychological resistance is the $450 price level. Towards the downside, a move below the previous breakout resistance of $434.72 may lead to a pullback as low as $420 in order to re-test the April-May consolidation period. Looking at the technical indicators, the MACD seems like it could now turn positive once again and the RSI is already positive as it reads 65.