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This chart says 'game over' for Microsoft

Talking Numbers

It's been anticipated for several months and now gamers all over the world are rejoicing at the release of "Titanfall" for Xbox One and PCs.

Meanwhile, Microsoft is hoping it will soon rejoice. The company hopes sales of the $60 game will help it catch up to Sony's PlayStation 4.

Steve Cortes, founder of Veracruz TJM, believes games like "Titanfall" are indicative of advances the company is making that would make the stock a buy.

"After a lost decade, Redmond, Washington, is finding its way," says Cortes on CNBC's Street Signs' Talking Numbers segment. "There's more of that to come. Let's remember, this company has the largest R&D budget in the entire world of any company. I think we're finally starting to start to see that budget produce some tangible benefits such as 'Titanfall'".

Talking Numbers contributor Richard Ross, Global Technical Strategist at Auerbach Grayson disagrees with Cortes' optimistic outlook.

"This company could still rerelease Tecmo Bowl and it still not going to get through $39 a share," says Ross of Microsoft and its stock.

Ross notes that while Microsoft has successfully tested its 150-day moving average twice in the past year, it hasn't been able to make new highs, unlike the market benchmark S&P 500 index.

"That tells me we could be looking at a reversal in trend here," says Ross, who also notes the stock has yet to break above a $39 resistance level over the past decade. "I simply don't think this stock has what it takes to get through there," says. "I would be a seller into this key resistance."

To see the rest of the discussion on Microsoft with Cortes on the fundamentals and Ross on the technicals, watch the video above.

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