Last week, we saw Morgan Stanley $MS complete a triangle pattern and threatening to break below the triangle:

Morgan Stanley (MS) About to break Below Triangle Consolidation

This week, the breakout materialized:

MS Daily Chart

(click to enlarge)

Downside:
- As we mentioned last week, this breakout continues a bearish correction that started in March. 
- We basically had a price top, then a triangle, and now we are entering another phase in this correction.
- There is downside to $44 and $40, the next key support pivots. 
- When we look at the weekly chart, we can see that if price approaches $40, it will be approach the 200-week simple moving average as well. This $40-$41.15 area appears to be a critical level, where we can expect some strong support, especially, if the RSI shows some bullish divergence and is around 30. 
- Furthermore, resistance at $48 would further confirm the bearish scenario. 

MS Weekly Chart

(click to enlarge)