MSFT: C wave finished with ending diagonal...

The MSFT chart below is the entire rally since 2009.  It is not a 1-2-3-4-5.  It is an A-B-C.  That means these past 2 years were a counter trend rally; a sucker's rally.  In addition, the C wave just finished with a 5 rail bump ending diagonal that featured a 5th wave throw over which has now broken down and is re-testing from below.  If this pattern gets confirmed with a breakdown through the lower rail then it is a classic end of trend signal.

I give it high odds of failing said retest.  Once it breaks down through the lower rail (and I believe that it will), the ending diagonal is confirmed to be complete and the next move will most likely (odds, never certainties) be a 5 wave movement down to a lower low than 2009.

For Mr. Softy to have a major break down like that, the entire NASDAQ will have to go down in flames.  Microsoft is not going to collapse like that all by itself.  This is not good news for the markets.

Watch the lower rail.  If it can't hold then watch out below.