General Motors (GM) Breaks Resistance

General Motors Co. (NYSE: GM) engages in the designing, manufacturing, and selling of cars, trucks and automobile parts. It also provides automotive financing services through General Motors Financial Company, Inc. The firm operates through the following segments: GM North America, GM International, Cruise and GM Financial. The company sells vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Wuling, Maven, and OnStar brands…

Take a look at the 1-year chart of General Motors below with my added notations…

GM had formed a key level of resistance at $57 (green) over the past couple of months, but the stock broke through that resistance on Friday. That break should lead to higher prices, overall, for the stock. If GM comes back down to that $57 level, as it did yesterday, a support bounce might be expected.

A long trade could be entered on a pull back down to that level. However, a break back below $57 could negate the forecast for a higher move and could also be an opportunity to get short the stock.

Want to Discover More Great Trades?

I have explored virtually every flavor of technical analysis and chart pattern known to mankind. The sad fact is that the vast majority of them don’t work at all.

That is why I recently put together this special report to help investors focus on the only 5 chart patterns that matter…the ones that lead to the most timely and profitable stock trades. Click below to get your copy now!

5 WINNING Stock Chart Patterns

Have a good trading day!

Good luck!

Christian Tharp, CMT