Microsoft stock holds $384 support amid 50-day EMA pressure as RSI stays neutral
Microsoft stock struggles below key resistance, closes down 0.72%.
Microsoft (NASDAQ: MSFT) stock opened Tuesday’s session at $388.5, initially gaining ground to reach an intraday high of $391.8.
However, technical resistance near the 50-day exponential moving average capped the upside. Price action reversed from a high of $391.6, shedding 1.9% to touch a day low of $384, a level that had cushioned losses during Monday’s session.
Once again, the $384 support level proved significant, limiting downside momentum and helping Microsoft pare losses to close at $385.7. The stock ended the day with a 0.72% decline, marking the second consecutive session of losses this week and bringing its week-to-date decline to 2%.
MSFT price dynamics (Oct 2024 - April 2025). Source: Tradingview
Price movements over the past two days have concentrated between two key levels: the 50-day EMA resistance around $391.6 and the horizontal support at $384. The repeated interaction at $384 signals short-term buying interest, though a failure to sustain rebounds above this zone could trigger further selling pressure.
Neutral RSI on the daily chart highlights indecision in Microsoft's near-term outlook
Momentum indicators reflect the current indecisiveness. The daily Relative Strength Index (RSI) is hovering around 51, offering a neutral bias. On the 4-hour chart, the RSI has been stable at nearly 55 since last week, suggesting mild bullish tendencies but lacking strong momentum.
The 50-day EMA continues to act as a ceiling for price recovery. A break above this level is needed to shift sentiment upward. Until then, any gains could struggle to extend past Tuesday's intraday high.
In the event that the bearish pressure resumes today, April 16. A close below 384.0 would invalidate the short-term support narrative and open the door to a deeper weekly drawdown. Hence, the downside target will shift to the next key support level at $377.0.
For now, price action remains confined within a narrow technical range. The battle between buyers defending 384.0 and sellers positioned near the 50-day EMA defines the near-term outlook for Microsoft stock.
Microsoft rebounded off key support at $385 after falling from a three-week high. Buyers trimmed losses to 1.42% as RSI hinted at building bullish sentiment.
