GM Stock: Decision Time: General Motors Company Stock Technicals Hit Inflection Point

0
159

Decision Time: General Motors Company (NYSE:GM) now sits in the perhaps the most difficult technical position — the stock has no urgency in its direction and that has left it at an inflection point. Watch the key moving average levels that we discuss below and further, watch the stochastics, technical oscillators and momentum readings for any kind of hint to direction.

The company has a three bull momentum rating which indicates an inflection point. It may seem obvious, but this is the time to put the stock on alert — a meaningful move in either direction now will likely swing momentum into a channel that could be decidedly up or down. With the current stock price and the moving averages showing signs of indecision, any consecutive day stock move in either direction will likely push the stock into a bearish or bullish momentum channel that could persist for the short-term. This is a critical inflection point. GM is up +10.1% over the last three months and up +24.0% over the last six months. The stock price is up +17.0% over the last year. The current stock price is $42.59.
GM Stock Returns

0.000.020.040.060.080.100.120.140.160.180.200.220.243-Months6-Months1-Year

The technical rating goes from a rating of one, the weakest upside technical, to a rating of five, the highest upside technical. This is strictly focusing on price and technical — that means we focus on real-time stock price movement and then position it relative to the simple moving averages. To make the technical rating meaningful, the moving averages are also compared to each other. Golden Cross Alert: The 50 day MA is now above the 200 day moving average.
As we noted above — the back of the envelope rule here is that when shorter-term moving averages move above the longer-term ones, momentum is building. We have that right now.

Swing Death Cross Alert: The short-term 10 day moving average is now below the 50 day moving average.
Recall that when we see the shortest-term moving average (10-day in this case) fall below any other moving average (50-day in this case), it indicates weakening momentum.

General Motors Company has a three bull (inflection point) technical rating because its trading above its 10- and 200 day simple moving averages, but below its 50- day moving average. We also note that the 10 day moving average is below the 50 day moving average (“swing death cross”).

We now turn to the actual numbers driving this rating:
General Motors Company (NYSE:GM) rating statistics:
10-day moving average: $41.75
50-day moving average: $43.61
200-day moving average: $37.61

THE REAL ANSWER
You just read another financial article, looking for a simple answer, and you didn’t find it. What you want to know is, which damn companies are going to see truly huge growth. Well, finally, there’s someone who will give you the answer.

Welcome to Capital Market Labs, CML. Our research sits side-by-side with Goldman Sachs and Morgan Stanley on professional terminals. If you’re ready to shell out $1500 per month, feel free to sign up with Bloomberg or one of the others. If what you want is a short list of amazing companies in exploding technology fields, and you want to pay less than you would on a large pizza, than you should do what thousands of other savvy investors have done and join CML Pro.

Each company in our ‘Top Picks’ portfolio is the single winner in an exploding thematic shift like self-driving cars, health care tech, artificial intelligence, Internet of Things, drones, biotech and more. So how good is the CML Pro Top Picks List? Find out which of our top picks are up over 100% in the last 12 months, with no obligation, no contract. CML Pro membership is no stress, cancel any time. It’s that easy.

SHARE
Previous articleThe Escapists 2 making a break for Nintendo Switch
Next articleARRY Stock: Price Target in View for Array BioPharma Inc
I have been a technology and gaming writer for the last seven years for brands like CNET, The Inquirer and Pocket-lint, but I've loved technology my whole life. I've also been lucky enough to work for the BBC where I maanaged the Top Gear website and worked on countless other shos, including science and technology focused Tomorrow's World. In 2012, I presented a sSky TV show called Gadget Geeks and now I'm a writer at The Enterprise Daily.

LEAVE A REPLY

Please enter your comment!
Please enter your name here