General Motors Short Term Bull, Roll, Consolidation
I am not licensed or certified by any individual or institution to give financial advice. I am not a professional stock trader.
I believe General Motors is in a rolling/consolidation pattern, at least for the short term. I have two possible support lines drawn. The bottom support line is drawn off the Gap from September 25, 2017 (it's possible to draw a third support line even lower at the beginning of the Gap from September 22, 2017) and the higher support line is drawn off resistance wicks from September 2017 and near the low of December 14, 2017. My Resistance Line at $45.07 is drawn off a lot more points. Throughout October 2017 you can see it acting as old Support, and then in November 2017 it becomes Resistance from the 20th through the 29th, and most recently it was Resistance on January 16, 2018. The orange drawn lines are possibilities of what I think could happen. GM may drop a few more cents and hit the $40.72 line and bounce up, or it could drop to the lower Support of 40.00ish and bounce up. Of course, it could just drop straight through both; but I think it will get a helping hand in rising when the major Indexes reach their 50 Day Moving Average and bounce up after the current retracement is comlete. If, after Earnings is released in a couple days, General Motors hits either of my drawn support lines and begins to rise I will consider entering a Bullish position (either Stock, or Call Option, and maybe paper trade a Bull Put spread for practice).
I believe General Motors is in a rolling/consolidation pattern, at least for the short term. I have two possible support lines drawn. The bottom support line is drawn off the Gap from September 25, 2017 (it's possible to draw a third support line even lower at the beginning of the Gap from September 22, 2017) and the higher support line is drawn off resistance wicks from September 2017 and near the low of December 14, 2017. My Resistance Line at $45.07 is drawn off a lot more points. Throughout October 2017 you can see it acting as old Support, and then in November 2017 it becomes Resistance from the 20th through the 29th, and most recently it was Resistance on January 16, 2018. The orange drawn lines are possibilities of what I think could happen. GM may drop a few more cents and hit the $40.72 line and bounce up, or it could drop to the lower Support of 40.00ish and bounce up. Of course, it could just drop straight through both; but I think it will get a helping hand in rising when the major Indexes reach their 50 Day Moving Average and bounce up after the current retracement is comlete. If, after Earnings is released in a couple days, General Motors hits either of my drawn support lines and begins to rise I will consider entering a Bullish position (either Stock, or Call Option, and maybe paper trade a Bull Put spread for practice).
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