Stock of the day: General Electric
04 September 2024
Yesterday's decline in the indices has set the stage for more bearish opportunities in the stock market, and one notable setup is on General Electric (GE). Since the start of the year, GE has been forming a large symmetric triangle pattern. Recently, at the end of last week, the price tested the upper boundary of this triangle and subsequently bounced off it, leading to a sharp decline this week.
This rejection at the upper line of the triangle presents a compelling selling opportunity. The current setup signals a bearish move with the target set at the lower boundary of the triangle. Given the recent price action and market sentiment, the likelihood of GE moving down towards this lower line is quite high, making this a trade worth watching closely.