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February 24, 2006

Microsoft Still a Nasdaq Gorilla

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Whatever your opinion Microsoft as a technology company (cutting edge or behind the curve), it is still mega cap with a large influence on the Nasdaq. The stock gapped up in late January, but that gap has been filled with a sharp decline. I find this quite negative and it reinforces long-term resistance at 28.5. The stock formed a pennant over the last two weeks and I am watching 26-27 for the next signal. A move above 27 would be bullish, while a move below 26 bearish. The direction of the break will influence the Nasdaq.

Posted by Arthur B. Hill at February 24, 2006 05:33 AM

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