MSFT Below Critical Reversal Zones! Watch Carefully!

Quick update on MSFT based on the 1-hour chart setup, with special attention to reversal zones.

📈 Technical Analysis (TA):
* MSFT is currently consolidating right within a key green reversal zone (around $393). This area indicates potential bullish exhaustion, signaling a possible reversal if price fails to break higher.
* Immediate support marked clearly by the red reversal zone around $380. This significant area indicates potential bullish opportunities if tested.
* A Change of Character (CHoCh) has been detected at both reversal zones, emphasizing their significance.
* Pay close attention to how price reacts at the current green reversal zone; a confirmed rejection here could initiate bearish momentum towards $380.

📊 GEX & Options Insights:

* Highest positive NET GEX and strongest CALL resistance are at $400—critical gamma resistance.
* Strong PUT support at $380, aligning closely with our red reversal zone—highly significant for downside defense.
* IV Rank is moderate at 25.1%, providing opportunities for both bullish and bearish spread strategies.
* Extremely low PUT ratio at 3.6%, indicating prevailing bullish sentiment; however, caution at reversal levels is advised.

💡 Trade Recommendations:
* Bearish Play: Consider puts if MSFT strongly rejects the current green reversal zone around $393, targeting the red reversal zone support at $380.
* Bullish Play: If MSFT clearly breaks above the green reversal zone (above $395), target the gamma level at $400. Tight stop-loss around $390.
* Neutral Approach: Iron Condors or credit spreads between the reversal zones ($380–$400) could benefit from current moderate volatility.

🛑 Risk Management: Given the significance of these reversal zones, carefully manage positions and respect stops.
Stay cautious and trade smart!

Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always do your own research and manage your risk before trading.