Microsoft (MSFT) Stock Hits All-Time Highs, Eyes $500 as Momentum Builds

Microsoft Corp. (NASDAQ: MSFT) shares have surged by over 40% since bottoming in April at $341.69, reaching fresh all-time highs during today’s market open. Currently trading around $479.66, MSFT stock appears to have regained strong upward momentum, supported by technical indicators and improving investor sentiment.

Technical Outlook: MACD Signals Further Upside for Microsoft

A closer look at the monthly MACD (Moving Average Convergence Divergence) suggests further upside potential for Microsoft shares in the second half of the year. Although the stock showed signs of exhaustion in July—with the MACD indicating overbought conditions and prompting some profit-taking—recent price action points to renewed strength.

The brief pullback was partly influenced by renewed pressure from Trump-era tariffs, but investors seem to have now digested that news, with market sentiment shifting more positively toward Microsoft’s long-term prospects.

Next Target: $500 Psychological Resistance Level

With no clear technical resistance above current levels, the next major target for Microsoft stock is the psychological $500 mark. While short-term upside may be somewhat capped due to broader geopolitical uncertainty—especially regarding the Iran-Israel conflict—market participants appear cautiously optimistic that tensions can be contained.

Downside Risk: Support at Previous Highs and May Gap

On the downside, Microsoft’s former all-time high now serves as a critical support level. A decisive break below this threshold could open the door to a decline toward the $440–$450 range, where a price gap from May may provide additional support.

Market Sentiment: Cautiously Bullish Amid Global Uncertainty

As of now, markets are pricing in stability in the Middle East, and the bullish momentum in MSFT shares remains intact. However, escalating geopolitical risks could quickly shift sentiment, warranting close monitoring of global developments.

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