MSFT Earnings the Catalyst for a Move Into $390 Before Bearish MSFTUSDTPERP PERPETUAL MIX CONTRACTBITGET:MSFTUSDT.PEmpressBTCMicrosoft is heading into earnings with price currently trading around $386. With the earnings report approaching, the main question is not simply whether the numbers will beat or miss expectations. The more important question from a technical perspective is: Where is price likely to draw liquidity before the next major move? My current expectation is for Microsoft to first continue higher toward the $390 area, where I believe price could react from a key bearish zone before expanding lower toward the next major Order Block (OB). Current Technical Structure Price is currently reacting from Sell-Side Liquidity (SSL). This is important because after sell-side liquidity has been taken, the market often seeks the opposite side of the range. In this case, I am watching for price to use the reaction from SSL as fuel for a move higher. The first area I am interested in is $390. My Pre-Earnings Expectation Before the earnings release, my preferred path is: SSL reaction → bullish expansion → $390 The market may continue higher as traders position themselves ahead of the event. However, I am not looking to chase the bullish move. Instead, I am watching how price behaves as it approaches $390. If price reaches this area and begins to show signs of rejection or a lower-timeframe market structure shift, that could provide the confirmation for the next bearish leg. What I Expect After Earnings Earnings can create significant volatility and may cause price to move aggressively in either direction. My technical expectation is that price could first use the event to reach or sweep the liquidity around the $390 area before reversing. This is the type of price action I am watching for: Price expands into $390 → liquidity is taken → bearish reaction → price draws toward the OB. The key point is that I am not assuming the earnings report itself must be bearish. The market could initially react positively to the numbers and still ultimately reverse from the technical level I am watching. The Bearish Setup If price reaches the $390 zone and begins to reject, I will be watching for: • A bearish displacement • A market structure shift • Failure to maintain bullish momentum • A retracement into a bearish FVG or OB Once bearish order flow is confirmed, the Order Block below current price becomes my next major area of interest. This is where I expect price to potentially seek the next pool of liquidity.