GE
GE / D1-W1 : This one could be oversold and interesting to buyHope this idea will inspire some of you !
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Indicators used in this forecast are PRO Sinewave BETA & PRO Momentum .
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Kindly,
Phil
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GE- Finally will be going up
Today I will be covering GE. As you can see there is strong dpo and MACD bullish divergence. This is a good sign for a start of an uptrend. In addition it seems to have finished the C wave having a strong bounce today. In addition both indicators look like they are forming a nice triangle pattern and they seems ready to explode out of it. This explosion will bring a nice uptrend and leave GE at 18.31. The only thing that may stop GE forming finally gaining some momentum is a big stock market correction which is very possible.
OPENING: JULY 20TH 12 LONG/MAY 18TH 14 SHORT CALL... for a 1.57/contract.
Taking a miniature directional shot here as an engagement trade while I wait for the May expiry to come into the "sweet spot."
Max Profit: .43/contract
Max Loss: 1.57/contract
Break Even: 13.57
Take Profit: 20% of max/.31 per contract
GE - Haven't done enough to turn it aroundTo keep it short and sweet: GE has been bearish since the beginning of 2017, and it doesn't seem they've done enough to turn it around. Yesterday's low was the lowest since 2009. If nothing substantial is done, we can potentially see the price drop to $10 by end of the year.
TRADE IDEA: GE JULY 20TH 13 LONG/MAY 18TH 15 SHORT CALLThis is a neutral to bullish assumption "skip month" call diagonal that very nearly approaches the metrics of a "proper" Poor Man's Covered Call where the credit received for the short call is equal to or greater than the extrinsic in the long option, the break even on setup is at or below where the stock is trading, and where the price paid is less than 75% of the width of the spread.
Currently, the setup is bid 1.33/mid 1.40/ask 1.47. Spot sits at 14.31 with a mid price fill yielding a break even of 14.40 (.09 above where the underlying is trading), a potential max profit (assuming no rolls) of .60/contract, and a price/spread width ratio of 70%.
Alternatively, you can widen the setup to a 12/15 to relieve yourself of additional extrinsic in the long such that the credit received on the short call end of the stick exceeds what's in the long. The 12/15's currently bid 2.15/mid 2.20/ask 2.25, a mid price fill would yield a break even of 14.20 (.11 below where the stock is trading), a max profit of .80, and a price/spread width ratio of 73.3%.
I'd look to take profit at 20% of what you put these setups on for, which would yield a .28 profit for the 13/15 (20% ROC), .44 for the 12/15 (20% ROC), keeping in mind that earnings come out in 35 ... .
Notes: We're kind of in between where the April monthly is too near in time and the May monthly -- too far out -- for setups, but I'm willing to roll the dice on a cheap setup on the notion that there might be some speculative bullish interest in this beaten down stock running into earnings, particularly since it's trundled down further from where it was a few weeks ago on an analyst downgrade. Neither setup requires a particularly huge amount of upward movement, particularly if you're shooting for 20% versus max profit (which would basically require a finish above the 15 shortie).
GE digging potentialGE is showing mediocre resistance at the 23% retracement. Eh, nothing special right? Up until you notice the RSI posing as a huge indicator for a long opportunity.
We haven't seen any levels like this in about 9 years, and over the course of 9 years, it showed a growth of approximately 279%. Now what does that mean? For one, it doesn't mean the investment is secure; that isn't until we get a confirmation within these next two weeks. The retracement is being used as a tool , within the retracement we can see a strong line of resistance at $22.86 (50% retracement), and $32.02 (100% retracement).
Essentially the major resistance areas would still mark an approximate 110% profit @ 50%, and 250% profit @ full retracement.
OPENING: GE MARCH 16TH 16 SHORT PUT... for a 1.66/contract credit.
Metrics:
Probability of Profit: 49%
Max Profit: 1.66 ($166/contract)
Max Loss: 14.34 (which equals the cost basis in any stock I'm assigned)
Break Even: 14.34
Notes: Put on at the 70 delta strike, this is a synthetic covered call with a buying power effect that is far smaller (~20% of the max loss or $246/contract) as compared to a straight up covered call where you'd buy 100 shares at 14.58 for $1458 and then sell, for example, the March 23rd 30 delta short call at 15.5 for a piddly .35, resulting in a cost of 14.23 ($1423) to put on, so one of the pluses to this strategy is lower buying power effect.
Granted, having the shares themselves entitles you to the divvies (the yield is currently 3.32%), and you won't get those with a naked short.
However, some frown on covered calls as being "capped out" in terms of profit. While that can be partly addressed through rolling the short calls for strike improvement/cost basis reduction, the synthetic is more flexible, since the short put can be rolled up as price moves toward it and over it if that's what you want to do with the play (which is basically continually reduce cost basis in potential assigned shares "up front", after which you'd then proceed to cover via short call).
Here, however, I'm looking to take profit at 50% max or .83 ($83)/contract, so I don't necessarily need price to break the short put completely ... .
GE - General Electric On The But?As far as I can interpret the facts from the chart, I would say that there's a potential support for this Stock.
You see the confluence point from a couple of potential support levels like the Fork, the horizontal, the over- and under shoot level etc.
If you want more details check out my TradingView blog where I post the step by step analysis, from the clean chart to this result.
P!
GE: An issue of Trust - is it safe yet?GE
Will 2018 be the year GE starts to get better? Who can say and
who can be believed anyway? The chart. It walks while CEO's talk.
GE has pretty much turned dead since the traumas of the Fall.
It's been moving in a very controilled trader-friendly way with
4 perfect hits on the 18.04 line and three on the 17.59 line
before it gave way, falling to new low at 17.36 but finding
buyers since and now trying to break above a fairly minor
trend line from the most recent peak at 17.52 now.
It's likely to get a few buy recommendations for potential
recovery from a few brokers in their New Year's tips sheets
but will need to find enough to push it back above 17.59 and
then hold above here on retests. That would be the first
bullish sign from GE for many a moon - and should be
encouragement enough for other buyers to join in and push
price back up to 18.04 - where it becomes ... a sell again
most likely. All this price action we see on the chart over a
two month period is the equivalent (or fractal) of two hours'
price action on Bitcoin.
GE - Long from Support `t $18.16 to $19.83GE had a huge decline from $32 to $17 label. However it seems getting some support here, and it had a huge insider buying recently on this label.
We think if it can break above its MA lines, it has good potential to jump to $20 area easily. ne from $32 to $17 label. However it seems getting some support here, and it had a huge insider buying recently on this label.
* Trade Criteria *
Date First Found- December 13, 2017
Pattern/Why- Long from Support
Entry Target Criteria- Break of $18.16
Exit Target Criteria- $19.83 & higher (Longer term Hold)
Stop Loss Criteria- N/A
Indicator Notes- Testing a long term support
Special Note- Huge insider buying recently
Please check back for Trade updates. (Note: Trade update is little delayed here.)
GE: Next buy points for counter-rallyGE Next Buy Points
We never got a chance for a long down by the lows, but we
did get the next one: the break above the small parallels
channelling the tiny corrective move yesterday and Monday.
It was a really good, painless/stress-free break too. So now,
after GE filled a small gap (left on chart) it's coming back to
support at 18.07 (tweaked by a couple of pips) and should
hold up there and bounce again (low risk entry point with
stops below 18.00 . If so, The next challenge should be at
18.46 (take profits) - we know that each of the last three
pathetic rally attempts have all been 100 pips...which is
exactly where 18.46 lies...then we only go long again once
we can see 18.50 has been broken on upside, looking for
19.36 where look to close (just under here) and some may
then wish to short with stops above. More as this develops.
Better than Bitcoin today too! Old V new. Today the old won.
There are some good trades here, between the lines - and so
much less stressful than Bitcoin. For a quiet, steady calm
trade GE wins hands down, no contest. Depends on your
profile.
GE: CSI Wall Street: Charts V Fundamentals - Truth V BeliefGE Nature of the Beast
GE is a 3/6 stock - it builds in multiples of 3 and 6: 60 all time high, 6 crash low to 33 post crash high. Last cycle high
42. This year's big numbers are 33, 27, a massive break at 24 (last kiss at 23.82) followed by a $6 straight fall to 18 where it
languishes now after a low for the year at 17.48. It really likes these numbers, as is plain to see to anyone who cares to
examine the charts, long term and short. These numbers hide in plain sight. It's a beautiful, faithful stock - in some ways as
beautiful as Bitcoin, except for bears, ever since it hit the top parallel back in mid 2016.
Each of the last three rally attempts have all been 100 pips before GE crashes lower still. Price has memory, in that when
a large corrective pattern such as this is eventually broken, price accelerates, the brakes/parallels have failed, and it will
seek support from old structure lows and highs from the past - just as GE is doing now. It's therefore likely to make a final
low at one of two spots: Where it is now at 18.00-17.48 - or 300 pips lower at 14.50. The fact that it has only been able to
rally 100 pips again from 17.48 is not a good sign but it cannot be shorted unless 17.40 gives way at any point - in which
case it's a worthwhile sell back to 14.55 where it then becomes a buy again with stops 20 points lower, requiring a complete
reversal at that point if 14.55 is then struck.
It's not much better than 50/50 here as things stand, with nothing for bulls to hang their hats on yet other than price
stopping at the only support left above 14.50. Some might prefer to stand back and watch to see if 17.40 gives way,
turning the odds from 50/50 to closer to 80-90% and looking to short here and buy back from 14.55 and get long again.
That would be so much clearer and simpler and looks very likely given a little more time.
For GE to show that the low is here, at 18.05 -17.48 it has to hold up at 17.48 on any retest Tuesday and rally at least 120
pips from 17.48 and then use 18.05 as support on any subsequent pull-back. It should then attract more buyers up
to 19.39 where it's likely to fall away again.
General Electrics - weeklyLong term forecast for General Electrics/GE.
Please watch this video:
"My investment in GE is 'one of the biggest mistakes of my career'"
www.cnbc.com
Share prices of GE are correlated with global stock market crashes.
It means we just entered a phase of a global economic meltdown.
In short-term I expect price to move up then down however, in long term GE is going to 0$ or close to 0$.
Bottom of the financial crisis will be reached in ~2019.
Have a nice life :)
GE long ideaGE has been tanking like a rock, removing demand along the way and creating supply zones in their place. The parabolic drop in prices suggests that buy orders are sitting under current price.
From supply and demand perspective 17.27 looks interesting as we have a drop base rally demand zone sitting right under current price which could yield a nice area of reversal if price continues its parabolic drop.
GE - Approaching 5 Year LowsGE is approaching 5 year lows.
It is still not time to buy as price is still falling to lower lows.
Many people look to buy quick bounces. However, notice the 2008 low for GE on this chart was just below $6.
This has great potential for being the biggest Dog of the Dow for 2018.
All the best!
Seth Gregory