The moral of the story here is watch the business. Microsoftâs investment thesis changed. And changed substantially - that is why the share price started to go up again.
The moral of the story is not that moving averages (MA) are a good way to decide to sell. They (MA) may or may not be, but so called âtechnical analysisâ has many detractors and is mainly of interest to people who are âtradersâ rather than investors.
This leads back to the moral of the story: investors should watch and make sure that the reasons for their optimism in a company stay firm. If the reason you invested changes (and those reasons may be affected by the prevalent macroeconomics) then it is a time for reassessment.