vf_investment

General Motors Company (GM) - short

Short
NYSE:GM   General Motors Company
Signals
Position: Short
Target Price : $58
Entry Price: $64
Stop loss: $66

Indicators
RSI is above 70
STOCH is above 80 and the indicator has negative, meaning is could have already reached the peak
MACD is only slightly above the signal line
The stock price is in the upper band of the Keltner Channel

Analysis
The stock is in an uptrend, made of impulses and pullbacks but has now reached the resistance level after two long bullish candlesticks . Nevertheless the MACD does not signal a strong bullish momentum and Stochastic indicator and RSI already show an overbought stock. Furthermore the stock price is currently above the upper band of the Keltner channel, so we can expect it to retrace back to the closest moving average. The entry price is at resistance level , and we use the Fibonacci retracement tool to set the profit target at the 0.618 level.

No financial advice.