Microsoft at a Breaking Point: Is This Pullback a Trap?

Microsoft has broken down from a distribution range / double top zone and is now forming a critical pullback retesting the broken support. This area will determine the medium-term direction.

Bearish Scenario (More Likely)
Rejection from 505–510:
• Target 1: 480
• Target 2: 455
• Target 3: 430
• Stop-loss: Daily close above 515

Bullish Scenario
If price closes above 515:
• Target 1: 525
• Target 2: 545
• Stop-loss: Close below 500

Short Fundamental View
• Strong position in AI, cloud, and enterprise software.
• Copilot and Azure growth remain strong.
• But valuation is stretched at highs, increasing correction risk.